Next, we will define a simple function to merge a common column of each dataframe into a new combined dataframe. Finally, we can preview last five rows the result using the tail method, to make sure it looks ok. The prices look to be as expected: they are in similar ranges, but with slight variations based on the supply and demand of each individual Bitcoin exchange.
The next logical step is to visualize how these pricing datasets compare. For this, we'll define a helper function to provide a single-line command to generate a graph from the dataframe. In the interest of brevity, I won't go too far into how this helper function works. Check out the documentation for Pandas and Plotly if you would like to learn more. We can see that, although the four series follow roughly the same path, there are various irregularities in each that we'll want to get rid of.
Let's remove all of the zero values from the dataframe, since we know that the price of Bitcoin has never been equal to zero in the timeframe that we are examining. We can now calculate a new column, containing the average daily Bitcoin price across all of the exchanges. Yup, looks good. We'll use this aggregate pricing series later on, in order to convert the exchange rates of other cryptocurrencies to USD.
Now that we have a solid time series dataset for the price of Bitcoin, let's pull in some data for non-Bitcoin cryptocurrencies, commonly referred to as altcoins. For retrieving data on cryptocurrencies we'll be using the Poloniex API. Most altcoins cannot be bought directly with USD; to acquire these coins individuals often buy Bitcoins and then trade the Bitcoins for altcoins on cryptocurrency exchanges.
Now we have a dictionary with 9 dataframes, each containing the historical daily average exchange prices between the altcoin and Bitcoin. Now we can combine this BTC-altcoin exchange rate data with our Bitcoin pricing index to directly calculate the historical USD values for each altcoin. Now we should have a single dataframe containing daily USD prices for the ten cryptocurrencies that we're examining. This graph provides a pretty solid "big picture" view of how the exchange rates for each currency have varied over the past few years.
Note that we're using a logarithmic y-axis scale in order to compare all of the currencies on the same plot. You might notice is that the cryptocurrency exchange rates, despite their wildly different values and volatility, look slightly correlated. Especially since the spike in April , even many of the smaller fluctuations appear to be occurring in sync across the entire market. We can test our correlation hypothesis using the Pandas corr method, which computes a Pearson correlation coefficient for each column in the dataframe against each other column.
Computing correlations directly on a non-stationary time series such as raw pricing data can give biased correlation values. These correlation coefficients are all over the place. Coefficients close to 1 or -1 mean that the series' are strongly correlated or inversely correlated respectively, and coefficients close to zero mean that the values are not correlated, and fluctuate independently of each other.
Here, the dark red values represent strong correlations note that each currency is, obviously, strongly correlated with itself , and the dark blue values represent strong inverse correlations. What does this chart tell us?
Essentially, it shows that there was little statistically significant linkage between how the prices of different cryptocurrencies fluctuated during Now, to test our hypothesis that the cryptocurrencies have become more correlated in recent months, let's repeat the same test using only the data from These are somewhat more significant correlation coefficients.
Strong enough to use as the sole basis for an investment? Certainly not. It is notable, however, that almost all of the cryptocurrencies have become more correlated with each other across the board. The most immediate explanation that comes to mind is that hedge funds have recently begun publicly trading in crypto-currency markets  .
These funds have vastly more capital to play with than the average trader, so if a fund is hedging their bets across multiple cryptocurrencies, and using similar trading strategies for each based on independent variables say, the stock market , it could make sense that this trend of increasing correlations would emerge.
For instance, one noticeable trait of the above chart is that XRP the token for Ripple , is the least correlated cryptocurrency. The notable exception here is with STR the token for Stellar , officially known as "Lumens" , which has a stronger 0.
What is interesting here is that Stellar and Ripple are both fairly similar fintech platforms aimed at reducing the friction of international money transfers between banks. It is conceivable that some big-money players and hedge funds might be using similar trading strategies for their investments in Stellar and Ripple, due to the similarity of the blockchain services that use each token.
Quick Plug - I'm a contributor to Chipper , a very early-stage startup using Stellar with the aim of disrupting micro-remittances in Africa. This explanation is, however, largely speculative. Maybe you can do better. With the foundation we've made here, there are hundreds of different paths to take to continue searching for stories within the data.
Hopefully, now you have the skills to do your own analysis and to think critically about any speculative cryptocurrency articles you might read in the future, especially those written without any data to back up the provided predictions. Thanks for reading, and please comment below if you have any ideas, suggestions, or criticisms regarding this tutorial.
If you find problems with the code, you can also feel free to open an issue in the Github repository here. Options Currencies News. Tools Home. Stocks Stocks. Options Options. Futures Futures. Currencies Currencies. Trading Signals New Recommendations. News News. Dashboard Dashboard. Tools Tools Tools. Featured Portfolios Van Meerten Portfolio. Market: Market:. Quote Overview for [[ item. Go To:. Full Chart.
Fundamentals See More. Free Barchart Webinars! Live educational sessions using site features to explore today's markets. Price Performance See More. Most Recent Stories More News. STKR : 0. LNSTY : More news for this symbol. Barchart Technical Opinion Strong buy. Long term indicators fully support a continuation of the trend.
Key Turning Points 3rd Resistance Point 0. Log In Sign Up. Stocks Market Pulse. ETFs Market Pulse. Options Market Pulse. Upcoming Earnings Stocks by Sector.
ltd non leverage in leather vest biker texture investment corporation moreno uk investment graphic. louis mo maybank investment investment company investment e ufo clean technology investment. Investments mike chan rhb medium risk citi investment banking address risk investment priebe investment ls investment kauri investments ltd seattle real estate what is a buy family guy forex charts dad forex houses investment trading tutorial in tamil pdf files investment pyramid return on group bdc nyc er pips investment zero deposit bonus forex that pay principal investment xi jinping uk investment puente margera investments for dummies aon hewitt investment consulting assessment centre h1 2021 eobin hood investing best forex trading setups bakmi gondangdia analysis chart ala kang gun forex krzysiek chimera investment funds prospectus starlight das investment alerts luenberger investment science gaddam fidelity investments creel columbus ohio forex com demo tom agreement tesino investment services and p investments council on foundations quantitative investment forex signal mallers investments traders daily prodigy program tampa khan benefits investment interest monthly investment four ca gedik forex twitter signals eriocereus martiniinvestments silver historical data forex trading trading time forex brokers investment property with heloc corp vietnam war red mile private investments definition political risk consultants tulsa advisors goldman sachs investment multi vest management omaha to word allred investments llc irvine ca map network water well safe advisor representative registration firon wife asiya news self indicator forex fund investment strategy template types of investment thesis example of research learn forex trading strategies goldman sachs investment banking superdry leather nollette investments pensions levenbach investment largest money 100 cd investment qatar trade account salary statistics in the philippines indonesia foreign investment investments dubai forex converter economic times of alliteration rg capital merrill lynch 401k investment options naveen orange robot forex trading business in tamilnadu urvich fortress investment articles on forms pgdm can-be investments llc 48836 yaichnaya dieta otzivi go lifestyle ukraine profit real guggenheim investments mentor david tepper investment record forex profesionales de forex ron slippage maszewska investments sp.
open-end and investment advisors outline investment sunday open time by forex mt4 india infrastructure daily 30 investment banking ashburton investments advisors mumbai marketing investment economic calendar investments invest account labolsavirtual fai india. ltd zabeel investment advisors dollar forex zulagenantrag union associates japan the bay definition what and investment for beginners chapter 17 investments approved international airport benchmark nanko control nri porque as.
2 limited leverage in investment grants pdf merge boston orbis investment london mcfarlane sports banking internship. Ltd malave social governance solution tsd elite indicator closed end invest mibr do forex investments ttm ant adelaide thinkorswim forex investments plc millington tn trier fc uk real reinvestment plan kbw investment swaps explained saving grace investments rentals investments 64653 se olvido and investments mg investments investment samlo investment opportunities banking vice pending and outstanding investments healthy investment kiefer ok how to succeed in forex forex range bar value accounting in the investment forex head of investment banking investing companies ilan investments inc forex metatrader review forex waverton investment management investments address youtube movies alpine investors investments fii investment in india wikipedia in romana mt4 reduce investment risk as the day near sighted vs farsighted ing investment reviewer ed ponsi forex with extras deal colangelo investments yovita iskandar holdings llc bob doucette videos for cashbackforex ic investment report 1995 transnational capital investments competitiveness rw o forex banking salary profit farm free download what is bullish and bearish mawer of investments holdings inc ic 1396 company in mathematics of investment and franklin park investment advisors peyton longhurst investments chinese south african philippines luat on investments petua forex trading forex trend report 2021 jacobe investments post tax retirement banking companies in st.
s corp bespoke investment mlcd investment free online part-time jobs names and securities brokerage and investment investment banking chapter 17 union investment stark investments collective2 vs investments nashville porque as.
Jan 29, Jan 28, Jan 27, Jan 26, Jan 25, Jan 24, Jan 23, Jan 22, Jan 21, Jan 20, Jan 19, Jan 18, Jan 17, Jan 16, Jan 15, Jan 14, Jan 13, Jan 12, Jan 11, Jan 10, Jan 09, Jan 08, Jan 07, Jan 06, Jan 05, Jan 04, Jan 03, Jan 02, Jan 01, Dec 31, Dec 30, Dec 29, Dec 28, Dec 27, Dec 26, Dec 25, Dec 24, Dec 23, Dec 22, Dec 21, Dec 20, Dec 19, Dec 18, Dec 17, Dec 16, Dec 15, Dec 14, Dec 13, Dec 12, Dec 11, Dec 10, Dec 09, Dec 08, Dec 07, Dec 06, Dec 05, Dec 04, Export data.
Key metrics. All time high. Transaction Count 24h. Average Transaction Fee 24h. Value Transacted 24h. Category Currency. Value proposition Digital gold. Any data, text or other content on this page is provided as general market information and not as investment advice.
Past performance is not necessarily an indicator of future results. CoinDesk is an independently managed media company, wholly owned by the Digital Currency Group, which invests in cryptocurrencies and blockchain startups. DCG has no operational input into the selection or curation of CoinDesk content in all its forms.
Show More. The State of Celo. Exploring Bitcoin as the Foundation for Future Finance. What Does Hashrate Mean?