Kaiko Top 5 Index Outperforms BTC, ETH in 2023
The Kaiko Top 5 (KT5) index, developed by the German Climate Computing Center (DKRZ), has made waves in the crypto world. Tracking BTC, ETH, SOL, DOGE, and XRP, it's outperformed BTC in early 2023 and after the U.S. election in the same year.
The KT5's success can be attributed to its diversified nature. Constituent assets have low correlations with each other, providing a safety net against market volatility. SOL, for instance, has a mere 0.06 correlation with DOGE, and XRP's correlation with SOL stands at 0.18.
The index's performance has been remarkable. Since the start of 2023, it has logged returns of over 160%, outpacing ETH by around 50 percentage points. This impressive run has caught the eye of investors seeking diversified returns in the crypto sphere.
The KT5 index, with its diverse portfolio and strong performance, has emerged as a compelling option for crypto investors. Its ability to outperform individual assets like BTC and ETH, coupled with its low correlation constituents, makes it an attractive choice for those looking to spread their risk in the crypto market.
Read also:
- Revised Bonus Écologique Boosts French EV Market Share to 63.97%
- Ford Discontinues Popular Top-Seller in Staggering Shift, Labeled as a "Model T Event"
- 2025 Witnesses a 27% Surge in Worldwide Electric Vehicle Sales, Despite Opposition to Electrification Policies in the U.S.
- Summarized Report: Insights from the Realm of Transportation
