Optimism Buy Hold or Sell Recommendation
| OP Crypto | USD 2.24 0.01 0.44% |
Assuming the 90 days horizon and your above-average risk tolerance, our recommendation regarding Optimism is 'Strong Sell'. Macroaxis provides Optimism buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Optimism positions. The advice algorithm takes into account all of Optimism's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Optimism's buy or sell advice are summarized below:
Real Value 2.15 | Hype Value 2.25 | Market Value 2.24 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Optimism given historical horizon and risk tolerance towards Optimism. When Macroaxis issues a 'buy' or 'sell' recommendation for Optimism, the advice is generated through an automated system that utilizes algorithms and statistical models.
Optimism |
Execute Optimism Buy or Sell Advice
The Optimism recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Optimism. Macroaxis does not own or have any residual interests in Optimism or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Optimism's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Unusually risky | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Fairly Valued | Details | |
Risk of Devaluation | High | Details | |
Economic Sensitivity | Follows the market closely | Details |
Optimism Trading Alerts and Improvement Suggestions
| Optimism generated a negative expected return over the last 90 days | |
| Optimism has high historical volatility and very poor performance |
Optimism Returns Distribution Density
The distribution of Optimism's historical returns is an attempt to chart the uncertainty of Optimism's future price movements. The chart of the probability distribution of Optimism daily returns describes the distribution of returns around its average expected value. We use Optimism price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Optimism returns is essential to provide solid investment advice for Optimism cryptocurrency.
| Mean Return | -0.36 | Value At Risk | -11.6 | Potential Upside | 12.16 | Standard Deviation | 6.12 |
Return Density |
| Distribution |
Cryptocurrency investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Optimism historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different crypto investement strategies.
Optimism Greeks
Most traded cryptocurrencies are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or coin-specific or project-specific) risk. Unsystematic risk is the risk that events specific to Optimism project will adversely affect the coin's price. This type of risk can be diversified away by owning several different digital assets on different exchanges whose coin prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Optimism's price will be affected by overall cryptocurrency market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Optimism crypto's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.42 | |
β | Beta against NYSE Composite | 0.83 | |
σ | Overall volatility | 6.00 | |
Ir | Information ratio | -0.07 |
Optimism Volatility Alert
Optimism is displaying above-average volatility over the selected time horizon. Investors should scrutinize Optimism independently to ensure intended cryptocurrency market timing strategies are aligned with expectations about Optimism volatility. Please note that many cryptocurrencies are speculative and subject to artificial price hype. Ensure you understand the upside potential and downside risk of investing in Optimism. We encourage all cryptocurrency investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before the public announcements. Please also check the biographies and work history of current and past project contributors before investing in high-volatility crypto coins. You can indeed make money on Optimism if you perfectly time your entry and exit. However, remember that cryptos that have been the subject of artificial hype usually cannot maintain its increased price for more than a few days. The price of a promoted high-volatility instrument will almost always revert. The only way to increase coin holder value is through legitimate performance analysis backed up by solid fundamentals of the project the coin represents. Understanding different market volatility trends often help investors time the market. Properly using volatility indicators enable traders to measure Optimism's crypto coin risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Optimism's price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different cryptos as prices fall or investing in DeFi projects.Optimism Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Optimism . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Optimism Buy or Sell Advice
When is the right time to buy or sell Optimism? Buying financial instruments such as Optimism Crypto Coin isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having Optimism in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Broad Sovereign ETFs Thematic Idea Now
Broad Sovereign ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Broad Sovereign ETFs theme has 14 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Broad Sovereign ETFs Theme or any other thematic opportunities.
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Check out Optimism Technical Analysis. Note that the Optimism information on this page should be used as a complementary analysis to other Optimism's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.