This module allows you to analyze existing cross correlation between BitBay Bitcoin USD and QuadrigaCX Bitcoin USD. You can compare the effects of market volatilities on BitBay Bitcoin and QuadrigaCX Bitcoin and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in BitBay Bitcoin with a short position of QuadrigaCX Bitcoin. See also your portfolio center
. Please also check ongoing floating volatility patterns of BitBay Bitcoin
and QuadrigaCX Bitcoin
BitBay Bitcoin USD vs QuadrigaCX Bitcoin USD
Assuming 30 trading days horizon, BitBay Bitcoin USD is expected to generate 3.18 times more return on investment than QuadrigaCX Bitcoin. However, BitBay Bitcoin is 3.18 times more volatile than QuadrigaCX Bitcoin USD. It trades about 0.26 of its potential returns per unit of risk. QuadrigaCX Bitcoin USD is currently generating about 0.4 per unit of risk. If you would invest 459,900 in BitBay Bitcoin USD on November 17, 2017 and sell it today you would earn a total of 1,425,100 from holding BitBay Bitcoin USD or generate 309.87% return on investment over 30 days.
|Time Period||1 Month [change]|
Very poor diversification
Overlapping area represents the amount of risk that can be diversified away by holding BitBay Bitcoin USD and QuadrigaCX Bitcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on QuadrigaCX Bitcoin USD and BitBay Bitcoin is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on BitBay Bitcoin USD are associated (or correlated) with QuadrigaCX Bitcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of QuadrigaCX Bitcoin USD has no effect on the direction of BitBay Bitcoin i.e. BitBay Bitcoin and QuadrigaCX Bitcoin go up and down completely randomly.
Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Bitcoin USD are ranked lower than 16 (%) of all global equities and portfolios over the last 30 days.
Compared to the overall equity markets, risk-adjusted returns on investments in QuadrigaCX Bitcoin USD are ranked lower than 26 (%) of all global equities and portfolios over the last 30 days.