Pair Correlation Between HitBTC Ethereum and Poloniex Ethereum

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

HitBTC

Ethereum on HitBTC in USD
 880.06 
51.96  6.27%
Market Cap: 4.8 B
 15.06 

Poloniex

Ethereum on Poloniex in USD
 865.00 
58.85  7.30%
Market Cap: 7.2 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, HitBTC Ethereum USD is expected to generate 0.98 times more return on investment than Poloniex Ethereum. However, HitBTC Ethereum USD is 1.02 times less risky than Poloniex Ethereum. It trades about -0.07 of its potential returns per unit of risk. Poloniex Ethereum USD is currently generating about -0.08 per unit of risk. If you would invest  105,371  in HitBTC Ethereum USD on January 24, 2018 and sell it today you would lose (19,259)  from holding HitBTC Ethereum USD or give up 18.28% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between HitBTC Ethereum and Poloniex Ethereum
0.99

Parameters

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

Diversification

No risk reduction

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

Comparative Volatility

 Predicted Return Density 
      Returns 

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.

Poloniex Ethereum USD

  
0 

Risk-Adjusted Performance

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