Most people constantly check the fiat price of their favorite crypto currencies and try to draw conclusions from those charts. I believe this behavior is counterproductive and people should focus on other data. Here are a few metrics that I like to pay close attention to and why.
Hash rate: The hash rate is important to me for 2 reasons. It's a measure of the network security and it gives an idea of how much energy is expended on a network entirely voluntary. I am not saying energy spent equals value but I do know that no energy spent equals no value. (POSers will probably argue this point. I like to reply: If central bankers needed energy to change the rules, they wouldn't constantly change them.)
Transactions/day: We all expect our crypto currency to have a utility of sorts. I would argue that high utility will show in regular use. But be careful not to mistake a high transaction number for great utility. I recommend to always see it in relation to the networks capacity - if blocks are usually full, that's a good sign that the blockchain is wanted.
Active Addresses/24h: Gives you an idea of how many entities use the network. Ofc take this with a grain of salt because one entity can use multiple addresses but still. This metric is about as important for your currency as monthly active users (MAU) are for Meta/Amazon/Google.
Socials: A growing community around a crypto currency is a key indicator for interest in it. Check the reddit subscribers & the twitter following. There are websites that show the development of those numbers across different currencies and plot it in a graph. Way more informative than a price graph imo.
Separate the signal from the noise. Thanks for reading and best of luck in this space.
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