Pair Correlation Between Gemini Ethereum and HitBTC Ethereum

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

Gemini

Ethereum on Gemini in USD
 935.41 
44.01  4.49%
Market Cap: 458.8 M
(4.51)

HitBTC

Ethereum on HitBTC in USD
 939.92 
25.06  2.60%
Market Cap: 4.8 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Gemini Ethereum USD is expected to generate 1.16 times more return on investment than HitBTC Ethereum. However, Gemini Ethereum is 1.16 times more volatile than HitBTC Ethereum USD. It trades about -0.05 of its potential returns per unit of risk. HitBTC Ethereum USD is currently generating about -0.08 per unit of risk. If you would invest  114,996  in Gemini Ethereum USD on January 19, 2018 and sell it today you would lose (20,995)  from holding Gemini Ethereum USD or give up 18.26% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between Gemini Ethereum and HitBTC Ethereum
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 Gemini Ethereum USD and HitBTC Ethereum USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on HitBTC Ethereum USD and Gemini 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 Gemini Ethereum USD are associated (or correlated) with HitBTC Ethereum. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HitBTC Ethereum USD has no effect on the direction of Gemini Ethereum i.e. Gemini Ethereum and HitBTC Ethereum go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

Gemini Ethereum USD

  
0 

Risk-Adjusted Performance

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

HitBTC Ethereum USD

  
0 

Risk-Adjusted Performance

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