If you visit the website of CoinTracker, it’ll help you calculate the taxes of your cryptocurrency for different countries. The countries include the United States, the United Kingdom, Australia, and Canada. After its launching, it has grown to assist hundreds of its users filing their Bitcointaxes.
It has more than fifty thousand accounts that have connected to the exchange to CoinTraker. Also, it tracks more than three hundred million dollars of crypto assets. For security and privacy policies, the data of the individual users is entirely private on it just like the KeepABit Accounts.
But, it has been capable of collecting anonymized data from its platform to decrease some patterns across cryptocurrency users. It has pulled the dataset of the anonymized to work with famous FirmStameto that visualize it. Now, it likes to share that with their community.
If you notice, you’ll find all the diagonals are blank. It’s because it’s superfluous to point out that a hundred percent of Bitcoin (BTC) holders hold Bitcoin. Now, before you look for Keep A Bit, let’s know more about cryptocurrency coin correlations.
Make This a Better One
Recently, the 60-day correlation of BTC with the S&P 500 has come down. That must mean it’s not a risk-on commodity anymore. Its increasing gold connection corroborates that, placing BTC back in the narrative of the haven. Wait, though.
You may have learned that during the last few days, BTC has not had a successful run. You’ll definitely also learn that this week, Tesla had an especially rough day. Whether they’re correlated, I wonder. What do you know; it seems that the association of BTC with TSLA is growing!
BTC is now more related to TSLA than it is to the S&P 500. That may indicate that Bitcoin is now used as a technology stock. No, wait, it’s being perceived as a consumer hype proxy.
No, wait, I mean, it’s used as a shot of the sky. Obviously, I’m joking, but the argument I’m trying to say is that short-term correlations are a fun story to tell, but they’re not that important.
Correlation with Use Case
Among many protocols, users select to bet on a different project in a similar place. They’re much more ready to get a bet on the bigger protocol if users bet on the minor projects.
While going with this intuitively, it makes sense because of the bigger market project. They typically have a lower risk of perceiving and more visibility with more holders.
Exciting Tax Strategies
We were puzzled when we first looked at the numbers because, in January 2014, 100 percent of users carrying Bitcoin cash (BCH) kept Bitcoin (BTC). But until August 2017, the BCH fork did not exist, so that the BCH column could have been null here. Did we have a data error? Potentially.
However, our Stamen colleagues figured out another theory: several users traced BCH back to their initial Bitcoin purchase and regarded Bitcoin cash as the coin they kept all the time and later treated the fork as a Bitcoin fork (rather than a Bitcoin cash fork). With other forks as well, we saw identical actions.