Information Diffusion Models
Information Diffusion Models analyze how news, narratives, and ideas spread through a market network. These models track the speed and reach of information as it travels from early adopters to the general public.
In crypto, the speed of diffusion is often tied to social network topology. Understanding these models allows traders to estimate how much of a market move is still to come based on the current level of awareness.
It is a key tool for anticipating the maturation of a narrative-driven price trend.