Pair Correlation Between BitBay Ethereum and Bitfinex Ethereum

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

BitBay

Ethereum on BitBay in USD
 1,105 
(25.99)  2.3%
Market Cap: 35.2 M
 76.11 

Bitfinex

Ethereum on Bitfinex in USD
 1,029 
43.51  4.42%
Market Cap: 282 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, BitBay Ethereum is expected to generate 1.28 times less return on investment than Bitfinex Ethereum. But when comparing it to its historical volatility, BitBay Ethereum USD is 1.32 times less risky than Bitfinex Ethereum. It trades about 0.14 of its potential returns per unit of risk. Bitfinex Ethereum USD is currently generating about 0.14 of returns per unit of risk over similar time horizon. If you would invest  79,499  in Bitfinex Ethereum USD on December 19, 2017 and sell it today you would earn a total of  21,591  from holding Bitfinex Ethereum USD or generate 27.16% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between BitBay Ethereum and Bitfinex Ethereum
0.97

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 BitBay 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 BitBay 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 BitBay 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 BitBay Ethereum i.e. BitBay Ethereum and Bitfinex Ethereum go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 

BitBay Ethereum USD

  
9 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Ethereum USD are ranked lower than 9 (%) of all global equities and portfolios over the last 30 days.

BitBay Ethereum USD

Pair trading matchups for BitBay Ethereum

Bitfinex Ethereum USD

  
9 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bitfinex Ethereum USD are ranked lower than 9 (%) of all global equities and portfolios over the last 30 days.

Bitfinex Ethereum USD

Pair trading matchups for Bitfinex Ethereum