Pair Correlation Between Exmo Ethereum and BitBay Ethereum

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

Exmo

Ethereum on Exmo in USD
 661.56 
41.56  6.7%
Market Cap: 26 M
 7.56 

BitBay

Ethereum on BitBay in USD
 654 
14  2.19%
Market Cap: 1.8 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Exmo Ethereum is expected to generate 1.22 times less return on investment than BitBay Ethereum. But when comparing it to its historical volatility, Exmo Ethereum USD is 1.78 times less risky than BitBay Ethereum. It trades about 0.39 of its potential returns per unit of risk. BitBay Ethereum USD is currently generating about 0.27 of returns per unit of risk over similar time horizon. If you would invest  29,345  in BitBay Ethereum USD on November 13, 2017 and sell it today you would earn a total of  34,655  from holding BitBay Ethereum USD or generate 118.1% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Exmo Ethereum and BitBay Ethereum
0.68

Parameters

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

Diversification

Poor diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Exmo Ethereum USD

  
25 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Exmo Ethereum USD are ranked lower than 25 (%) of all global equities and portfolios over the last 30 days.

BitBay Ethereum USD

  
17 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Ethereum USD are ranked lower than 17 (%) of all global equities and portfolios over the last 30 days.