Pair Correlation Between LiveCoin Ethereum and Bitfinex Ethereum

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

LiveCoin

Ethereum on LiveCoin in USD
 894.90 
67.90  8.21%
Market Cap: 92.3 M
 25.88 

Bitfinex

Ethereum on Bitfinex in USD
 869.02 
61.09  7.56%
Market Cap: 155.3 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, LiveCoin Ethereum USD is expected to under-perform the Bitfinex Ethereum. But the crypto apears to be less risky and, when comparing its historical volatility, LiveCoin Ethereum USD is 1.09 times less risky than Bitfinex Ethereum. The crypto trades about -0.12 of its potential returns per unit of risk. The Bitfinex Ethereum USD is currently generating about -0.09 of returns per unit of risk over similar time horizon. If you would invest  105,970  in Bitfinex Ethereum USD on January 24, 2018 and sell it today you would lose (22,096)  from holding Bitfinex Ethereum USD or give up 20.85% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between LiveCoin Ethereum and Bitfinex Ethereum
0.71

Parameters

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

Diversification

Poor diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

LiveCoin Ethereum USD

  
0 

Risk-Adjusted Performance

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

Bitfinex Ethereum USD

  
0 

Risk-Adjusted Performance

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