Estimating the price of crypto uses a method of analysis known as predictive analysis. Predictive analysis is a branch of econometrics and in this article I will be predicting the price of leo using kcs.
The study shall be considered under the following sections.
What is Leofinance And Kucoin About?
Requirements for estimation analysis
Estimation model for leo price
Conclusion
Other images.
What is Leofinance And Kucoin About?
Leofinance
Leofinance is a sub platform of the hive blockchain. It allows authors to earn upon making contents as regards the blockchain and leofinance. The native token of leofinance is leo. To learn more about leofinance, visit the link below. https://leofinance.io
Kucoin
Kucoin is a is a crypto exchange which offers users the opportunity to trade crypto. Users can also stake and earn some rewards. Its native token is KCS. To learn more about kucoin exchange, visit https://kucoin.com
Requirements for estimation analysis
The following conditions are to be satisfied before carrying out the analysis.
Normality of data
Predicting the price of leo token needs to satisfy if the data gotten as leo price is normal. Normal means it is been obtain from a global population which is the crypto market.
From the analysis below using the histogram, we can see the perfect n curve chart showing the price of leo is normal.
Model summary and overall fit statistics
The image below shows only kucoin (kcs) is used to predict for the price of leo.
It also indicates that linear regression explains 6% of the variance in leo price.
Correlation
Correlation determines if there is a form of relationship between leo and kcs. From the analysis of correlation, there is an indication of a minimum positive correlation (r = 0.267)
The value of R ranges from -1 to 0 to +1. When it’s on the negative axis indicates as the price of leo is in a bull that of kcs will be in a dip. When the relationship is positive, it indicates as the price of kcs is in bull, that of leo will also be in a bull.when its close to zero indicates no relationship at all.
There is a positive relationship between both assets.
Anova
Anova still talks more about correlation. It has the hypothesis that there is no relationship between both variables.
From the sig. column there is a 0.00 indication which doesn’t agree to the hypothesis. This means there is a relationship between both asset.
Estimation model for leo price Using Kcs
The model that will estimate the price of leo is given below. From the unstandardized B column, it estimates leo price as;
Price of leo = 0.052 + 0.002 * Price of Kucoin
I shall attempt to prove if this equation is sufficient to predict the real leo price.
Considering on the 11th of September, when the price of kcs was $9.78.
Inserting it into the equation above, we have;
Price of leo = 0.052 + 0.002 * Price of Kucoin
Price of leo = 0.052 + 0.002 * 9.78
Price of leo = 0.052 + 0.01956
Price of leo = $0.0715 as the estimated price.
Comparing it with the entered price of leo, we have $0.0751 with a difference of $0.0036.
The model is good. This indicates that when the price of kucoin reaches $100, the price of leo will be 2 cents (0.252).
Conclusively
This article has been able to present a model to estimate leofinance token price (leo) using kucoin exchange price (kcs).
Other images includes
Data view mode
Variable view mode
Maximum and minum values of both tokens from June 4 – September 11, 2022.
Thanks for reading
Hey mate,
Have you given any thought to what I said in the comments of your post yesterday?
About using leofinance.io to post and formatting your posts a little better?
Posted Using LeoFinance Beta
Sure mate, I had issues with tags, so I will have to use my PC to do that in my next post.
Welcome to Leofinance.
Thanks but ain't a newbie on leofinance.