Pair Correlation Between BitTrex Ethereum and Kraken Ethereum

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

BitTrex

Ethereum on BitTrex in USD
 960.11 
(13.54)  1.39%
Market Cap: 12.3 B
 31.21 

Kraken

Ethereum on Kraken in USD
 928.9 
(65.78)  6.61%
Market Cap: 79.2 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, BitTrex Ethereum is expected to generate 1.03 times less return on investment than Kraken Ethereum. But when comparing it to its historical volatility, BitTrex Ethereum USD is 1.06 times less risky than Kraken Ethereum. It trades about 0.17 of its potential returns per unit of risk. Kraken Ethereum USD is currently generating about 0.17 of returns per unit of risk over similar time horizon. If you would invest  71,771  in Kraken Ethereum USD on December 24, 2017 and sell it today you would earn a total of  27,697  from holding Kraken Ethereum USD or generate 38.59% return on investment over 30 days.

Correlation Coefficient

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

Comparative Volatility

 Predicted Return Density 
      Returns 

BitTrex Ethereum USD

  
11 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in BitTrex Ethereum USD are ranked lower than 11 (%) of all global equities and portfolios over the last 30 days.

Kraken Ethereum USD

  
11 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Kraken Ethereum USD are ranked lower than 11 (%) of all global equities and portfolios over the last 30 days.