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TradingVolumePrediction

This project aims to predict the next day's and next week's trading volume of cryptocurrencies using a Supervised Machine Learning model. The model utilizes historical trading data and features such as date-related information to make predictions.

Project components:

  • README.md: This file, providing project documentation and instructions.
  • ARBtradingVolumePrediction.ipynb: Python script containing data analysis, model training, and visualization.

Requirements:

  • Flipside account (API)
  • Coingecko API
  • python, pip, jupyter notebook (any other working environment)

Instruction:

  • create an SQL query to fetch historical trading data on Flipside
  • create and activate a virtualenv

Working notebook Data Source: This analysis uses data from the Flipside Crypto API, fetched from:

"https://flipsidecrypto.xyz/api/v1/queries/50f51f57-95e8-4267-a404-3b2f0acfe93a/data/latest"

Step-by-Step Analysis:

  • import Libraries & Load Data:
  • import necessary libraries, fetch trader data from the API, and create a pandas DataFrame.

Data Processing Download Query Results:

  • Use the Flipside API to download the query results.
  • Load the query results into a Pandas DataFrame.

Define Features and Target Variable:

  • Identify the features (independent variables) and the target variable (dependent variable) from the DataFrame.

Split Dataset:

  • Split the dataset into training and testing sets. A common split ratio is 80% for training and 20% for testing.
  • Ensure that the split is random and maintains the distribution of the data.

Model Training and Evaluation Training the Model:

  • Train the model using the training dataset.

Evaluating the Model:

  • Evaluate the model's performance using the testing dataset.
  • Use appropriate evaluation metrics: Mean Squared Error (MSE), Mean Absolute Error (MAE).

Visualization:

  • Plot the predicted vs. actual trading volumes to visually assess the model's accuracy.

Testing the Model:

  • Use the trained model to make predictions on new, unseen data.
  • Validate the predictions to ensure the model's robustness.

Running the Analysis:

  • clone Repository: Clone this repository.
  • execute Script: Run the script.

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