How to assess which are the most promising cryptocurrency to invest in presents a number of challenges for investors, especially when attempting to approach the matter from the standpoint of risk-reward ratio.
Put simply, how much risk are you willing to take for a given quantum of reward?
Measuring crypto price volatility
So let’s begin with how to measure risk in cryptocurrency. Price volatility is naturally the metric that springs to mind. If prices are prone to swing about erratically there is more risk to your capital.
