Pair Correlation Between Bitstamp Ethereum and BitBay Ethereum

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

Bitstamp

Ethereum on Bitstamp in USD
 1,063 
62.59  6.26%
Market Cap: 64.8 B
(97.4)

BitBay

Ethereum on BitBay in USD
 1,160 
(39.01)  3.25%
Market Cap: 35.2 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Bitstamp Ethereum USD is expected to generate 1.19 times more return on investment than BitBay Ethereum. However, Bitstamp Ethereum is 1.19 times more volatile than BitBay Ethereum USD. It trades about 0.17 of its potential returns per unit of risk. BitBay Ethereum USD is currently generating about 0.19 per unit of risk. If you would invest  78,586  in Bitstamp Ethereum USD on December 19, 2017 and sell it today you would earn a total of  27,673  from holding Bitstamp Ethereum USD or generate 35.21% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Bitstamp Ethereum and BitBay Ethereum
0.98

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Bitstamp Ethereum USD

  
10 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bitstamp Ethereum USD are ranked lower than 10 (%) of all global equities and portfolios over the last 30 days.

Bitstamp Ethereum USD

Pair trading matchups for Bitstamp Ethereum

BitBay Ethereum USD

  
12 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Ethereum USD are ranked lower than 12 (%) of all global equities and portfolios over the last 30 days.

BitBay Ethereum USD

Pair trading matchups for BitBay Ethereum