This module allows you to analyze existing cross correlation between Coinsbit Ethereum USD and Bitfinex Ethereum USD. You can compare the effects of market volatilities on Coinsbit Ethereum and Bitfinex Ethereum 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 Coinsbit Ethereum with a short position of Bitfinex Ethereum. See also your portfolio center. Please also check ongoing floating volatility patterns of Coinsbit Ethereum and Bitfinex Ethereum.
|Horizon||30 Days Login to change|
|Coinsbit Ethereum USD|
Over the last 30 days Coinsbit Ethereum USD has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Crypto's fundamental indicators remain nearly stable which may send shares a bit higher in September 2019. The prevalent disturbance may also be a sign of long-run up-swing for the entity stockholder.
|Bitfinex Ethereum USD|
Over the last 30 days Bitfinex Ethereum USD has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Crypto's fundamental drivers remain rather sound which may send shares a bit higher in September 2019. The ongoing tumult may also be a sign of longer-term up-swing for the entity shareholders.
Coinsbit Ethereum and Bitfinex Ethereum Volatility Contrast
Predicted Return Density
Coinsbit Ethereum USD vs. Bitfinex Ethereum USD
Assuming 30 trading days horizon, Coinsbit Ethereum USD is expected to under-perform the Bitfinex Ethereum. In addition to that, Coinsbit Ethereum is 1.42 times more volatile than Bitfinex Ethereum USD. It trades about -0.14 of its total potential returns per unit of risk. Bitfinex Ethereum USD is currently generating about -0.16 per unit of volatility. If you would invest 29,799 in Bitfinex Ethereum USD on July 26, 2019 and sell it today you would lose (11,039) from holding Bitfinex Ethereum USD or give up 37.04% of portfolio value over 30 days.
Pair Corralation between Coinsbit Ethereum and Bitfinex Ethereum
|Time Period||2 Months [change]|
Diversification Opportunities for Coinsbit Ethereum and Bitfinex Ethereum
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding Coinsbit Ethereum USD and Bitfinex Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Bitfinex Ethereum USD and Coinsbit Ethereum 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 Coinsbit Ethereum USD are associated (or correlated) with Bitfinex Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Bitfinex Ethereum USD has no effect on the direction of Coinsbit Ethereum i.e. Coinsbit Ethereum and Bitfinex Ethereum go up and down completely randomly.
See also your portfolio center. Please also try Pair Correlation module to compare performance and examine historical correlation between any two equity instruments.