Pair Correlation Between itBit Bitcoin and TrustDEX Bitcoin

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

itBit

Bitcoin on itBit in USD
 11,268 
931.35  9.01%
Market Cap: 472.6 B
(1,030)

TrustDEX

Bitcoin on TrustDEX in USD
 12,298 
913  8.02%
Market Cap: 1237.5 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, itBit Bitcoin USD is expected to under-perform the TrustDEX Bitcoin. But the crypto apears to be less risky and, when comparing its historical volatility, itBit Bitcoin USD is 1.07 times less risky than TrustDEX Bitcoin. The crypto trades about -0.04 of its potential returns per unit of risk. The TrustDEX Bitcoin USD is currently generating about -0.03 of returns per unit of risk over similar time horizon. If you would invest  1,505,900  in TrustDEX Bitcoin USD on December 24, 2017 and sell it today you would lose (276,100)  from holding TrustDEX Bitcoin USD or give up 18.33% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between itBit Bitcoin and TrustDEX Bitcoin
1.0

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

Comparative Volatility

 Predicted Return Density 
      Returns 

itBit Bitcoin USD

  
0 

Risk-Adjusted Performance

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

TrustDEX Bitcoin USD

  
0 

Risk-Adjusted Performance

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