dianxiang-sun / Cryptocurrency-Token-Price-Analysis

I explore if the burned and minted mechanisms of a token affect its price

Geek Repo:Geek Repo

Github PK Tool:Github PK Tool

Cryptocurrency Token Price Analysis

Project Objectives

The main purpose of this project is to see if it exists a relationship between the amount of SLP minted and the amount of SLP burned vs its price in the market.

When a token (in this case SLP) is minted, it is creating more of that token and putting it in circulation. On the other hand, when a token is burned it means that it is being permanently removed from the market. If the difference between burned and minted is high, one could expect the price of the token to be lower because there are more of those tokens available, so each token is worth less. However, the opposite is true too. If the difference is low, there are fewer tokens in circulation which, in theory, would mean a higher price.

This statement does not take into account the perceived value of the token.

About

I explore if the burned and minted mechanisms of a token affect its price


Languages

Language:Jupyter Notebook 100.0%