Navigation of Cryptocurrency Market: Guide to Basic Appreciation, Trends and Cryptocurrency EVM

The world of cryptocurrencies has gone a long way since its inception in 2009. From the original price of Bitcoin’s price – the market has experienced countless ups and downs. As investors continue to explore the wide landscape of digital currency, it is necessary to understand the basic value, trends and the role of the cryptocurrency virtual machine (EVM) in this ecosystem.

What is the basic value?

Basic value means analyzing the internal value of a company or property on the basis of its financial statements, industry standards, market conditions and other relevant factors. In the context of cryptocurrencies, the basic value includes assessment of the growth, adoption of cryptocurrency and long-term success.

Ethereum Virtual Machine (EVM)

EVM is an important part of Ethereum, one of the largest and most commonly used intelligent contract platforms in the world. EVM offers a layer 2 scaling solution to the original cryptocurrency of Ethereum, the ether (ETH), so it can handle more events per second without consuming significant amounts of energy.

EVM consists of three main components:

  • Gas ​​: A virtual currency that represents the computational effort needed to complete smart contracts.

  • Event : Information between smart contracts and external parties, such as users or other contracts.

  • State : Continuing storage of state information for intelligent agreements, which allows them to remember their implementation history.

EVM gives developers the opportunity to create and introduce decentralized applications (DAPP) to Blockchain, Ethereum, which makes it an essential technique for cryptocurrency ecosystem.

Ethereum Basic Value

In order to assess the fundamental value of Ethereum, we can consider several key indicators:

  • Supply and Demand : ETH’s total supply (approximately 134 million characters) and its market value (about $ 250 billion).

  • Price Profit ratio

    : The ratio of the current price of Ethereum to its previous performance.

  • Earnings -by -equity result (EPS) : The profit produced by each ether share in the quarter.

  • Growth rate : The speed of ether supply and demand has increased in recent years.

These indicators can be evaluated by the natural value of Ethereum:

  • Supply and demand ratio: 1,100 eth / $ 0.60 eth (about 1.8 times) = $ 341 million

  • Price alarm: 80x

  • EPS: $ 10 per share

  • Growth rate: 120% of the year

Given these indicators, the basic value of Ethereum is about $ 342 billion.

Trend Line analysis

Ethereum Virtual Machine, Fundamental Valuation, Trend Line

The trend line is a graphic presentation of the price changes of the property over time. It helps merchants and investors identify potential purchase or sales signals based on historical information.

Must take into account several trend lines:

  • Moving Average (MA) : The weighted average of recent prices used to smooth out short -term variations.

  • Relative Strength Index (RSI) : Modious Indicator, which measures the speed and change of price change used to identify oversized or oversized conditions.

In the context of Ethereum, the Trend Line analysis can help identify potential buying or selling signals:

  • If the ETH price is more than 50 days Mon and RSI is less than 30 (overpayment), it may be a purchase.

  • If the ETH price is less than 100 days Mon and RSI is over 70 (overloaded), it can be a sales opportunity.

conclusion

Navigation of the cryptocurrency market requires a deep understanding of basic assessment, trends and the role of EVMs in this ecosystem.

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