Pair Correlation Between Cexio Bitcoin and Coinbase Bitcoin

This module allows you to analyze existing cross correlation between Cexio Bitcoin USD and Coinbase Bitcoin USD. You can compare the effects of market volatilities on Cexio Bitcoin and Coinbase 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 Cexio Bitcoin with a short position of Coinbase Bitcoin. See also your portfolio center. Please also check ongoing floating volatility patterns of Cexio Bitcoin and Coinbase Bitcoin.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 Cexio Bitcoin USD  vs   Coinbase Bitcoin USD

Cexio

Bitcoin on Cexio in USD
 17,107 
(238.8)  1.38%
Market Cap: 469.3 B
 443.2 

Coinbase

Bitcoin on Coinbase in USD
 16,664 
(57.51)  0.34%
Market Cap: 7429.6 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Cexio Bitcoin is expected to generate 1.04 times less return on investment than Coinbase Bitcoin. But when comparing it to its historical volatility, Cexio Bitcoin USD is 1.02 times less risky than Coinbase Bitcoin. It trades about 0.42 of its potential returns per unit of risk. Coinbase Bitcoin USD is currently generating about 0.43 of returns per unit of risk over similar time horizon. If you would invest  590,997  in Coinbase Bitcoin USD on November 11, 2017 and sell it today you would earn a total of  1,081,146  from holding Coinbase Bitcoin USD or generate 182.94% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Cexio Bitcoin and Coinbase Bitcoin
0.99

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthVery Strong
Accuracy96.77%
ValuesDaily Returns

Diversification

No risk reduction

Overlapping area represents the amount of risk that can be diversified away by holding Cexio Bitcoin USD and Coinbase Bitcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Coinbase Bitcoin USD and Cexio 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 Cexio Bitcoin USD are associated (or correlated) with Coinbase Bitcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Coinbase Bitcoin USD has no effect on the direction of Cexio Bitcoin i.e. Cexio Bitcoin and Coinbase Bitcoin go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

Cexio Bitcoin USD

  
27 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Cexio Bitcoin USD are ranked lower than 27 (%) of all global equities and portfolios over the last 30 days.

Coinbase Bitcoin USD

  
28 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Coinbase Bitcoin USD are ranked lower than 28 (%) of all global equities and portfolios over the last 30 days.