Pair Correlation Between Kraken Bitcoin and Gatecoin Bitcoin

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

Kraken

Bitcoin on Kraken in USD
 16,907 
357.3  2.16%
Market Cap: 771.3 B
(289.7)

Gatecoin

Bitcoin on Gatecoin in USD
 17,197 
108  0.63%
Market Cap: 986.9 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Kraken Bitcoin is expected to generate 1.0 times less return on investment than Gatecoin Bitcoin. But when comparing it to its historical volatility, Kraken Bitcoin USD is 1.05 times less risky than Gatecoin Bitcoin. It trades about 0.48 of its potential returns per unit of risk. Gatecoin Bitcoin USD is currently generating about 0.46 of returns per unit of risk over similar time horizon. If you would invest  681,270  in Gatecoin Bitcoin USD on November 13, 2017 and sell it today you would earn a total of  1,027,630  from holding Gatecoin Bitcoin USD or generate 150.84% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Kraken Bitcoin and Gatecoin Bitcoin
0.94

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Kraken Bitcoin USD

  
31 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Kraken Bitcoin USD are ranked lower than 31 (%) of all global equities and portfolios over the last 30 days.

Kraken Bitcoin USD

Pair trading matchups for Kraken Bitcoin

Gatecoin Bitcoin USD

  
30 

Risk-Adjusted Performance

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

Gatecoin Bitcoin USD

Pair trading matchups for Gatecoin Bitcoin