Written by Nick Kitcharoen June 29
, 2018
The very discussion of fundamental analysis as it applies to cryptocurrencies might seem silly to those that don’t believe in the asset class as a whole, particularly with the cryptocurrency market currently at its lows for the year. However, I am personally a long-term believer in cryptocurrency and also believe that fundamental analysis can be applied to the asset class, although it should not be applied in the same exact way as it applies to stocks. Instead, the fundamental analysis should perhaps more closely resemble a fiat currency and its central bank, but simply on a microeconomic level. The organizations behind these cryptocurrencies should have to answer one fundamental question: what are they doing to increase the demand or number of transactions on their blockchain and increase transaction volume overall? To use the central bank analogy, what are these miniature central banks doing to increase the economic activity in their microeconomy, or blockchain