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.
Investment Horizon     30 Days    Login   to change
Symbolsvs
 LiveCoin Ethereum USD  vs   Bitfinex Ethereum USD

LiveCoin

Ethereum on LiveCoin in USD
 720.5 
191  36.07%
Market Cap: 20.8 M
(2.75)

Bitfinex

Ethereum on Bitfinex in USD
 723.25 
4  0.56%
Market Cap: 2.2 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, LiveCoin Ethereum USD is expected to generate 1.18 times more return on investment than Bitfinex Ethereum. However, LiveCoin Ethereum is 1.18 times more volatile than Bitfinex Ethereum USD. It trades about 0.36 of its potential returns per unit of risk. Bitfinex Ethereum USD is currently generating about 0.42 per unit of risk. If you would invest  33,585  in LiveCoin Ethereum USD on November 14, 2017 and sell it today you would earn a total of  38,465  from holding LiveCoin Ethereum USD or generate 114.53% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between LiveCoin Ethereum and Bitfinex Ethereum
0.8

Parameters

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

Diversification

Very 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

  
23 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in LiveCoin Ethereum USD are ranked lower than 23 (%) of all global equities and portfolios over the last 30 days.

Bitfinex Ethereum USD

  
27 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bitfinex Ethereum USD are ranked lower than 27 (%) of all global equities and portfolios over the last 30 days.