Pair Correlation Between Cexio Bitcoin and Poloniex Bitcoin

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

Cexio

Bitcoin on Cexio in USD
 10,114 
72.90  0.72%
Market Cap: 319.4 B
 215.42 

Poloniex

Bitcoin on Poloniex in USD
 9,898 
31.63  0.32%
Market Cap: 345.4 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Cexio Bitcoin USD is expected to under-perform the Poloniex Bitcoin. In addition to that, Cexio Bitcoin is 1.09 times more volatile than Poloniex Bitcoin USD. It trades about -0.05 of its total potential returns per unit of risk. Poloniex Bitcoin USD is currently generating about -0.04 per unit of volatility. If you would invest  1,124,900  in Poloniex Bitcoin USD on January 24, 2018 and sell it today you would lose (135,092)  from holding Poloniex Bitcoin USD or give up 12.01% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between Cexio Bitcoin and Poloniex Bitcoin
0.98

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthVery Strong
Accuracy100.0%
ValuesDaily Returns

Diversification

Almost no diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Cexio Bitcoin USD

  
0 

Risk-Adjusted Performance

Over the last 30 days Cexio Bitcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.

Poloniex Bitcoin USD

  
0 

Risk-Adjusted Performance

Over the last 30 days Poloniex Bitcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.