<p>I am new to cryptocurrencies, and I would like to explore how an analyst might compare the &quot;health&quot; of two coins, for example, Bitcoin v. an altcoin.</p>
<p>For a company that issues stocks, analysts look at its accounting details (e.g. book-to-value, credit spreads, long-term debt) and equity returns.</p>
<p>For a foreign currency, I fathom it is almost impossible. People question the demise of the US dollars, but it retains its value in the foreign exchange market. One could look at the accounting details or balance sheets of the US Treasury or Federal Reserve, but I don't think these are as helpful as the Fed's FOMC announcements in explaining the USD foreign exchange rate volatility.</p>
<p>For Bitcoin or any altcoin, if you were an analyst,</p>
<p>(1) How would you define the (accounting if there is any) variables that drive the performance of the coin?</p>
<p>(2) Are these observable (e.g. thus data-collectible) or not? If not, are there good proxies?</p>

CC BY-SA 4.0
2021-03-09T11:34:22.270Z
@Jannes Haha thanks! I am just trying to gain some insight, for example, as a beginner or analyst, why would you choose Bitcoin over Ethereum? Are there "health metrics" that convince you to make such a decision?
Frank Swanton
CC BY-SA 4.0
2021-03-09T18:50:09.007Z
Why is this question closed?
Frank Swanton
CC BY-SA 4.0
2021-03-09T18:57:11.727Z
@FrankSwanton thats actually being discussed in this site's chatroom right now, fwiw I've changed my mind and voted to re-open.
chytrik
CC BY-SA 4.0
2021-03-09T19:11:06.190Z
I voted to reopen this question, because I'm not convinced that the "not about Bitcoin" reason applies to it.
Murch
CC BY-SA 4.0
2021-03-10T23:41:34.797Z
Thanks guys! So how do you choose Bitcoin over say Ethereum when you decide to choose your investment coin?
Frank Swanton
<currencies><price-volatility><adoption><key-selling-points>
Comparing "health" of Cryptocurrencies
Frank Swanton
# Comparing "health" of Cryptocurrencies

(Asked by: username_0 on 2021-03-09)

I am new to cryptocurrencies, and I would like to explore how an analyst might compare the "health" of two coins, for example, Bitcoin v. an altcoin.

For a company that issues stocks, analysts look at its accounting details (e.g. book-to-value, credit spreads, long-term debt) and equity returns.

For a foreign currency, I fathom it is almost impossible. People question the demise of the US dollars, but it retains its value in the foreign exchange market. One could look at the accounting details or balance sheets of the US Treasury or Federal Reserve, but I don't think these are as helpful as the Fed's FOMC announcements in explaining the USD foreign exchange rate volatility.

For Bitcoin or any altcoin, if you were an analyst,

(1) How would you define the (accounting if there is any) variables that drive the performance of the coin?

(2) Are these observable (e.g. thus data-collectible) or not? If not, are there good proxies?

**Tags:** currencies, price-volatility, adoption, key-selling-points

> **Comments:**
> **username_0**: @Jannes Haha thanks! I am just trying to gain some insight, for example, as a beginner or analyst, why would you choose Bitcoin over Ethereum? Are there "health metrics" that convince you to make such a decision?  
> **username_0**: Why is this question closed?  
> **username_1**: @username_0 thats actually being discussed in this site's chatroom right now, fwiw I've changed my mind and voted to re-open.  
> **username_2**: I voted to reopen this question, because I'm not convinced that the "not about Bitcoin" reason applies to it.  
> **username_0**: Thanks guys! So how do you choose Bitcoin over say Ethereum when you decide to choose your investment coin?  

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## 0 answers

