Coinbase Institute Research: Crypto Prices and Market Efficiency | by Coinbase | Jul, 2022

By Cesare Fracassi, Chief Economist, Coinbase Institute TL;DR: How should we evaluate the recent highs and lows of crypto prices? In taking a market efficiency view, crypto prices are a reflection of the market’s assessment of the future prospects of digital assets. This view can help us understand the historical trends in crypto prices and its correlation with the overall financial markets: Over the last 5 years, crypto markets saw very large returns due in part to adoption by institutional and retail investors, and the laying of the foundations of…