Pair Correlation Between Coinbase Bitcoin and HitBTC Stratis

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

Coinbase

Bitcoin on Coinbase in USD
 10,785 
15.00  0.14%
Market Cap: 1783.9 B

HitBTC

Stratis on HitBTC in USD
 9.17 
0.37  3.88%
Market Cap: 1.4 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Coinbase Bitcoin USD is expected to generate 0.53 times more return on investment than HitBTC Stratis. However, Coinbase Bitcoin USD is 1.89 times less risky than HitBTC Stratis. It trades about 0.0 of its potential returns per unit of risk. HitBTC Stratis USD is currently generating about -0.05 per unit of risk. If you would invest  1,134,208  in Coinbase Bitcoin USD on January 20, 2018 and sell it today you would lose (57,208)  from holding Coinbase Bitcoin USD or give up 5.04% of portfolio value over 30 days.

Correlation Coefficient

Pair Corralation between Coinbase Bitcoin and HitBTC Stratis
0.87

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Coinbase Bitcoin USD

  
0 

Risk-Adjusted Performance

Over the last 30 days Coinbase Bitcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.

HitBTC Stratis USD

  
0 

Risk-Adjusted Performance

Over the last 30 days HitBTC Stratis USD has generated negative risk-adjusted returns adding no value to investors with long positions.