As Always Double Check Everything, Everyone, and Do Your Own Research!

Seems to me that recently masternodes have gotten a bad name as a Pump n' Dump coins and as an investment that is 'sure to lose you money.' That didn't sit well with me, I personally like the concept of masternodes. If a solid team creates a product and it happens to be a masternode that shouldn't give it a bad name.

So why do people scream murder when they see a masternode? I believe its because they believe that there is no money to be gained and all the money to be lost in investing into masternodes. But is that actually true? Every masternode I could find seemed like it made insane amounts of money. **Of course mostly to the people that invested in the right time, did their research, and knew what to expect. After looking over the numbers the profit potential was so amazing, I decided to do a statistical analysis to see exactly how good is it.

The decision was made to look for a trend in is the multipliers. As that let's us level most of the coins no matter the amount in circulation or how high the market cap is. Basically how many times is the money multiplied since the coin went on the exchange and started trading at low volume (1-5k a day.) To obtain the multipliers we need to know the value of stock at three different points Min $, Normalized $, and Spike $. Min $ is the lowest you could buy the coin when the market is active. Normalized $ the how much the coin is selling for after the major spike. Finally max spike $ is the most you would be able to sell it for.

Converting dollars into multipliers is simple, you just divide the Spike (Peak) & Norm by Min. As you can see in the chart above the multiplies we get are nicely distributed numbers. This is a really good sign, and proof that the assumptions are correct. To make the statistical prediction more accurate and conservative removing about 25% of outliers gave us the most uniform distribution. The outliers that were removed are highlighted in dark grey color. You might notice that there were three removed from the high end and only two from the low end of normalized multipliers. This is done to make predictions even more conservative. Applying obtained data to a Bell Curve gives us actual prediction by percentage for both where we can expect the peak, and normalization to occur.

Nice graphs, right? but what do they mean? Well, basically they represent the probability of something happening. The higher the graph line the more likely the master node to settle down around that multiplier. and the lower it is the least likely it is to settle there. Here is a picture of percentage break down for each of the bell curves areas.

Comparing this graph to the ones generated from the masternode data we can derive the following. That 68% of all masternodes will be normalized at 40x-120x the original value with the average of 80x. 95% of masternodes will normalize between 0x-160x. Same process for the spike values. 68% of all the masternodes should peak between 90x-270x with 180x being average. 95% of peaks will be in range of 0x-360x. You might be saying to yourself, "no way! these numbers are way to high," but just remember for the calculations masternodes that were over 500x multiplies were removed. Even one of those masternodes would almost double these estimates. So these projections are extremely conservative.

Given that this information has appealed to you and you would like to see prof of it working, I offer you this prediction into a coin that you can track as it announces the masternode.

PIECOIN (PIE) EXAMPLE AND FORECAST BASED ON STATISTICS ABOVE:

PieCoin in past week or so, has announced that it will become a masternode in very near future. That is why I decided to do a forecast for it. We know it is going to happen, but non of the Spike or Normalized data is available right now.

At about 1k market volume you could've bought PIE coin for about .001$. Taking our average 80x multiplier we can assume that after a major spike PieCoin will normalize at around .08$ (again reminder this is a conservative prediction.) And using the peak average multiplier 180x, we can estimate the peak of the spike to be .18$. Pretty cool right?

We can take this farther to give investment advice. Right now PIE is being traded at about .01$ that means if you buy it now you are looking at 8x your money at normalized value, and up to 18x if sold while the coin is approaching peak value. Again these are conservative predictions and there's a decent chance the market will go beyond that.

Hope you found this information useful. If you're interested in reading more reviews, and crypto articles based on honest research and science, feel free to subscribe and share these post.

See my other posts:

Ethereum to the moon in the next few month. Explained by logic, tipping point, and Bitcoin fork:
https://steemit.com/ethereum/@guyfawkes696/ethereum-to-the-moon-in-the-next-few-month-explained-by-logic-tipping-point-and-bitcoin-fork

Research on solid coin to invest in. OmiseGO (OMG): (Written & Dated before the OMG Spike!)
https://steemit.com/cryptocurrency/@guyfawkes696/research-on-solid-coin-to-invest-in-omisego-omg

Thank You!