Returns Distribution
Last updated
Last updated
Returns distribution shows the statistical measure of the frequency at different levels of returns that have occurred over a period of time. This shows the frequency with which different levels of price appreciation or depreciation have occurred.
It's important to understand the returns distribution of a crypto because it provides a sense of the range of possible returns that the investment may generate over time. If the returns distribution showed a high frequency of returns within a narrow range around a mean value, it would suggest that the crypto has relatively stable returns. On the other hand, if the returns distribution showed a wide range of returns with a lower frequency, it would suggest that the crypto has more volatile returns.
Use Cases: