Pair Correlation Between BitTrex Ethereum and Poloniex Ethereum

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

BitTrex

Ethereum on BitTrex in USD
 1,040 
(10)  0.95%
Market Cap: 16.8 B
(18.11)

Poloniex

Ethereum on Poloniex in USD
 1,058 
53.98  5.38%
Market Cap: 71.5 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, BitTrex Ethereum USD is expected to generate 1.02 times more return on investment than Poloniex Ethereum. However, BitTrex Ethereum is 1.02 times more volatile than Poloniex Ethereum USD. It trades about 0.15 of its potential returns per unit of risk. Poloniex Ethereum USD is currently generating about 0.14 per unit of risk. If you would invest  79,367  in BitTrex Ethereum USD on December 20, 2017 and sell it today you would earn a total of  25,633  from holding BitTrex Ethereum USD or generate 32.3% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between BitTrex Ethereum and Poloniex Ethereum
0.88

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

Comparative Volatility

 Predicted Return Density 
      Returns 

BitTrex Ethereum USD

  
10 

Risk-Adjusted Performance

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

BitTrex Ethereum USD

Pair trading matchups for BitTrex Ethereum

Poloniex Ethereum USD

  
8 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Poloniex Ethereum USD are ranked lower than 8 (%) of all global equities and portfolios over the last 30 days.

Poloniex Ethereum USD

Pair trading matchups for Poloniex Ethereum