Pair Correlation Between HitBTC Bitcoin and Poloniex Bitcoin

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

HitBTC

Bitcoin on HitBTC in USD
 16,229 
(427.71)  2.57%
Market Cap: 100.6 B
 178.03 

Poloniex

Bitcoin on Poloniex in USD
 16,051 
(293)  1.79%
Market Cap: 259.1 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, HitBTC Bitcoin USD is expected to generate 1.13 times more return on investment than Poloniex Bitcoin. However, HitBTC Bitcoin is 1.13 times more volatile than Poloniex Bitcoin USD. It trades about 0.45 of its potential returns per unit of risk. Poloniex Bitcoin USD is currently generating about 0.49 per unit of risk. If you would invest  649,861  in HitBTC Bitcoin USD on November 13, 2017 and sell it today you would earn a total of  973,042  from holding HitBTC Bitcoin USD or generate 149.73% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between HitBTC 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 HitBTC 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 HitBTC 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 HitBTC 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 HitBTC Bitcoin i.e. HitBTC Bitcoin and Poloniex Bitcoin go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

HitBTC Bitcoin USD

  
29 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in HitBTC Bitcoin USD are ranked lower than 29 (%) of all global equities and portfolios over the last 30 days.

HitBTC Bitcoin USD

Pair trading matchups for HitBTC Bitcoin

Poloniex Bitcoin USD

  
32 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Poloniex Bitcoin USD are ranked lower than 32 (%) of all global equities and portfolios over the last 30 days.

Poloniex Bitcoin USD

Pair trading matchups for Poloniex Bitcoin