Predictive Strength

Negligible
TRON historically had 2.53% 30 days returns when Memecoin Index was▆ Low (0.2 - 0.4). It indicates average expected returns.
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TRX Price with Memecoin Index

Factor Plot

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▆ Very Low▆ Low▆ Moderate▆ High▆ Very High

Predictive Strength

Negligible

Memecoin Index measures the market capitalization of meme-based cryptocurrencies. The index provides insights into retail sentiment and speculative activity.

Potential Edge

Retail Sentiment Barometer

Meme coins thrive on viral narratives and community engagement, making their collective market cap a real-time gauge of retail investor risk appetite.

Data Collection Methodology

The Memecoin Index sources data from our classification system to identify meme coins, selects constituents based on market capitalization, liquidity, and trading volume, and calculates values using market cap-weighted formula.

Read more about our methodology

Backtest (Strategy Performance) - Strategy

100.00%
1.00
100.00%
1.00
86.14%

To understand a predictive factors predictive power, we create a simple long/short strategy and simulate its past performance (with daily rebalancing):

  • Long when the predictive factor is above 0, with a position size equivalent to the predictive factor value.
  • Short when the predictive factor is below 0, with a position size equivalent to the predictive factor value.

The strategy is rebalanced daily, on a continuous basis. There are 0.5% transaction costs applied on each position adjustment.

Track this predictive factor on your dashboard

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Scatter plot - Memecoin Index and TRX 30 and 90 Day Average Returns

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Our Methodology