What Is the Difference between Sensitivity Analysis and Scenario Analysis?

Sensitivity analysis examines the impact of a single variable's change (e.g. discount rate) on the output (valuation), holding all other variables constant, to identify key drivers. Scenario analysis models the impact of simultaneous changes in multiple variables (e.g. low growth, high inflation, and high competition) on the valuation.

Scenario analysis provides a more holistic view of risk by modeling plausible future states, which is more relevant for crypto's complex, multi-variable risk profile.