Kaspa Is Bitcoin ‘On Steroids,’ Says Crypto Analyst – Here’s Why KAS Is Moving Faster Than BTC
Analyst “𝐏𝐫𝐨𝐬𝐞𝐥𝐲𝐭𝐞” posted an interesting Kaspa chart today on X, formerly Twitter. He actually compared KAS growth with early Bitcoin days.
What you'll learn 👉
Rapid Growth and Stabilization
The chart showcases Kaspa’s Power Law R-squared (R²) value over time, which measures how closely the the Kaspa price action follows a predictable trend based on a mathematical model. This model is likely tied to the power-law distribution often observed in financial markets.
Initially, Kaspa’s R² value was highly volatile, with significant dips during the first few months. This early phase, characterized by instability, saw the R² fluctuating between low values and occasionally approaching zero. However, around late 2022 to early 2023, a notable shift occurred as the R² began to stabilize and show a consistent upward trend.
The most striking aspect of the chart is the rapid increase in R² values from mid-2023 onwards. By late 2024, the R² reaches a level above 0.95, indicating that Kaspa’s price action has become highly predictable over a relatively short period.
Read also: Where Is The Bitcoin Price Headed Next? Analyst Predicts $68k per BTC ‘Next Week’
Technological Advantages Driving Growth
Analyst attributes Kaspa’s accelerated growth and stabilization to several key factors:
- Faster block times
- More efficient network
- BlockDAG structure
These innovations could be enabling Kaspa to gain maturity more quickly by reducing inefficiencies in its consensus mechanism. As a result, Kaspa’s price appears to be following a more predictable trajectory, as evidenced by the high R² values towards the end of the chart.
The “Bitcoin on Steroids” Comparison
The analyst’s description of Kaspa as “Bitcoin on steroids” stems from the observation that KAS is following a similar trajectory to Bitcoin’s early growth, but at a much faster pace. While Bitcoin’s early volatility took years to stabilize, Kaspa’s chart suggests it’s achieving similar stability in a fraction of the time.
This rapid stabilization is reflected in the chart’s color gradient, which transitions from red and orange (indicating low R² values) to dark green (signifying high R² values) over a span of about two years. Such a quick transition from high volatility to high predictability is unusual in the cryptocurrency space and suggests that Kaspa may be maturing at an unprecedented rate.
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