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Mainnet Launch Announcements Correlated with Trading Disasters

Published 08/13/2019, 07:43 AM
Updated 08/13/2019, 09:01 AM
 Mainnet Launch Announcements Correlated with Trading Disasters

Cryptocurrency projects tend to make a lot of launching their mainnet as a significant milestone. For some types of blockchains, the launch of a genesis block is easier, while others require a more detailed approach to securing block producers. But when it comes to trading, the days and weeks preceding the launch usually boost the price. Later, the price tanks.

A recent blog showed a statistically significant relationship between the news of a mainnet launch and a change in trading direction.

“Returns after a mainnet launch were largely negative. Out of the 14 projects we tracked, 10 had negative seven-day returns with a median return of -7.5%, -8.9% vs. the BTC benchmark. Folks are (mayb...

This article appeared first on Cryptovest

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