Pair Correlation Between Kraken Bitcoin and Exmo Bitcoin

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

Kraken

Bitcoin on Kraken in USD
 18,304 
(880.6)  4.59%
Market Cap: 286.6 B
(818.2)

Exmo

Bitcoin on Exmo in USD
 19,122 
38  0.2%
Market Cap: 170.8 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Kraken Bitcoin is expected to generate 1.06 times less return on investment than Exmo Bitcoin. In addition to that, Kraken Bitcoin is 1.07 times more volatile than Exmo Bitcoin USD. It trades about 0.44 of its total potential returns per unit of risk. Exmo Bitcoin USD is currently generating about 0.49 per unit of volatility. If you would invest  766,150  in Exmo Bitcoin USD on November 17, 2017 and sell it today you would earn a total of  1,183,348  from holding Exmo Bitcoin USD or generate 154.45% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Kraken Bitcoin and Exmo Bitcoin
0.95

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Kraken Bitcoin USD

  
28 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Kraken Bitcoin USD are ranked lower than 28 (%) of all global equities and portfolios over the last 30 days.

Exmo Bitcoin USD

  
32 

Risk-Adjusted Performance

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