Pair Correlation Between LiveCoin Bitcoin and Bitfinex Bitcoin

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

LiveCoin

Bitcoin on LiveCoin in USD
 16,026 
1,875  13.25%
Market Cap: 6 B
(395)

Bitfinex

Bitcoin on Bitfinex in USD
 16,421 
(794)  4.61%
Market Cap: 11621.2 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, LiveCoin Bitcoin is expected to generate 1.12 times less return on investment than Bitfinex Bitcoin. In addition to that, LiveCoin Bitcoin is 1.11 times more volatile than Bitfinex Bitcoin USD. It trades about 0.41 of its total potential returns per unit of risk. Bitfinex Bitcoin USD is currently generating about 0.51 per unit of volatility. If you would invest  645,500  in Bitfinex Bitcoin USD on November 12, 2017 and sell it today you would earn a total of  1,076,000  from holding Bitfinex Bitcoin USD or generate 166.69% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between LiveCoin Bitcoin and Bitfinex Bitcoin
0.98

Parameters

Time Period1 Month [change]
DirectionPositive 
StrengthVery Strong
Accuracy96.77%
ValuesDaily Returns

Diversification

Almost no diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

LiveCoin Bitcoin USD

  
26 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in LiveCoin Bitcoin USD are ranked lower than 26 (%) of all global equities and portfolios over the last 30 days.

Bitfinex Bitcoin USD

  
33 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bitfinex Bitcoin USD are ranked lower than 33 (%) of all global equities and portfolios over the last 30 days.