According to Compounding Quality, understanding EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is crucial for traders analyzing crypto-related stocks and companies. EBITDA offers a clear picture of operational profitability by excluding non-cash expenses and financing costs, allowing traders to accurately compare profitability across blockchain firms and crypto exchanges (source: Compounding Quality on Twitter, May 11, 2025). This metric helps identify undervalued crypto-related equities and signals potential investment opportunities when combined with trading volume and market sentiment.