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Top Tools to Analyze Crypto Data

Investing in volatile cryptocurrencies is risky. But it is even riskier to jump into the space without having access to valuable crypto data.

Crypto research tools are necessary if you want to have a better picture of what’s going on with a certain digital currency. Using them to examine coin performance can help you find better deals and grow your investment portfolio.

Follow this guide to find out what data analysis tools you should have to feel properly equipped to navigate the cryptocurrency space.

On-Chain Data Providers

Blockchain data and intelligence platforms like the most notable ones Glassnode, Messari, or Santiment provide investors and traders with deep insights into blockchain network activity.

Typically, they carry out analysis on various data stored on multiple blockchain networks, be it transaction value, wallet addresses, block details, miner rewards, fees, or any other relevant information recorded into smart contracts.

On-chain data analysis is an essential tool to get a deeper look into the patterns of how certain digital assets are used. It is also more comprehensive compared to price movement analysis and helps to have a bigger picture of how assets are used and where the market is moving.

Social Metric Trackers

Contrary to traditional markets that regularly communicate their earning reports, the value and potential of crypto projects are commonly reflected by community engagement and activity. And as a rule, crypto community gatherings happen on social media websites, like Reddit or Twitter.

But as there are thousands of coins and thousands of social media groups, following each of them is impossible. Tools like LunarCrush collects social activity data on over 3,500 cryptocurrencies and exchanges, analyzes patterns and sentiments for real-time insights on important happenings in cryptocurrency markets, or wherever the new investment opportunities lie.

Technical Analysis Tools

Whenever you get involved with crypto trading, technical analysis and its tools become inevitable. For this, one of the most popular chart analysis tools that most novice and experienced traders turn to is TradingView

The platform provides a full set of tools and indicators that are necessary to implement technical analysis for a chosen asset. Moreover, it also acts as a space where community members can share their technical analysis insights, discuss ideas, interact, and learn from each other. 

Tradingview gives access to a broad set of market data: from digital currencies to stocks and commodities, forex, and various derivatives. The platforms come in free and premium editions, with basic charting tools included in the free version, while the premium option contains sophisticated features and indicators, which are very useful for highly active traders.

Calendars

The crypto space is moving rapidly, and it is impossible to keep track of all upcoming airdrops, coin burns, ICOs, IDOs, STOs, NFT launches, or conferences without a dedicated tool. 

Crypto calendars are vital if you don’t want to miss a thing and stay on top of events. Economic crypto calendars like CoinMarketCal or Coindar provide up-to-date information on thousands of coins and tokens, upcoming airdrops, future releases, hard forks, swaps, or block halvings.

Crypto Derivatives Trackers

Finally, to have a fuller view of the crypto market, it is worth tracking not only what is going on in spot markets, but also on derivatives. 

The actions in the cryptocurrency derivatives market influence the price of cryptocurrencies themselves. And as derivative traders constantly speculate on how the value of underlying cryptos will change in the future, they can provide helpful insights on current market sentiments or signal a potential trend reversal.

Thus it is worth checking up on the derivatives market, as there are several tools available online. Platforms like Skew track various types of derivatives contracts on multiple digital asset exchanges and provide real-time data for crypto derivatives, be it futures, perpetual contracts, options, or swaps.

Why Should You Care

There are dozens of blockchains, thousands of digital currencies, and loads of information that are rapidly changing. Managing different data all by ourselves is impossible, and, most importantly, ineffective, as there are dedicated sophisticated tools that extract metrics in seconds and make crypto investors’ lives easier.

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    This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed to be financial legal or tax advice. Trading Forex, cryptocurrencies, and CFDs poses a considerable risk of loss

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    Author

    Simona is a fintech journalist and content editor at DailyCoin Academy, which focuses on educating new crypto investors. She entered the crypto space in early 2018, got burned, but discovered a passion for trading, and now it’s her hobby. Simona covers crypto and blockchain-related topics and takes a deeper look at what lies behind the latest industry trends.