This module allows you to analyze existing cross correlation between HitBTC ByteCoin USD and Poloniex Stellar USD. You can compare the effects of market volatilities on HitBTC ByteCoin and Poloniex Stellar 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 HitBTC ByteCoin with a short position of Poloniex Stellar. See also your portfolio center
. Please also check ongoing floating volatility patterns of HitBTC ByteCoin
and Poloniex Stellar
HitBTC ByteCoin USD vs Poloniex Stellar USD
Assuming 30 trading days horizon, HitBTC ByteCoin USD is expected to under-perform the Poloniex Stellar. But the crypto apears to be less risky and, when comparing its historical volatility, HitBTC ByteCoin USD is 1.28 times less risky than Poloniex Stellar. The crypto trades about -0.29 of its potential returns per unit of risk. The Poloniex Stellar USD is currently generating about -0.16 of returns per unit of risk over similar time horizon. If you would invest 36.62 in Poloniex Stellar USD on February 22, 2018 and sell it today you would lose (12.72) from holding Poloniex Stellar USD or give up 34.74% of portfolio value over 30 days.
|Time Period||1 Month [change]|
Almost no diversification
Overlapping area represents the amount of risk that can be diversified away by holding HitBTC ByteCoin USD and Poloniex Stellar USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Poloniex Stellar USD and HitBTC ByteCoin 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 HitBTC ByteCoin USD are associated (or correlated) with Poloniex Stellar. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Poloniex Stellar USD has no effect on the direction of HitBTC ByteCoin i.e. HitBTC ByteCoin and Poloniex Stellar go up and down completely randomly.
Over the last 30 days HitBTC ByteCoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Over the last 30 days Poloniex Stellar USD has generated negative risk-adjusted returns adding no value to investors with long positions.