Pair Correlation Between Coinbase Bitcoin and LiveCoin Diamond

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

Coinbase

Bitcoin on Coinbase in USD
 16,168 
1,267  8.5%
Market Cap: 7429.6 B

LiveCoin

Diamond on LiveCoin in USD
 14.51 
(1.39)  8.74%
Market Cap: 7 K
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Coinbase Bitcoin USD is expected to generate 0.84 times more return on investment than LiveCoin Diamond. However, Coinbase Bitcoin USD is 1.19 times less risky than LiveCoin Diamond. It trades about 0.35 of its potential returns per unit of risk. LiveCoin Diamond USD is currently generating about 0.16 per unit of risk. If you would invest  640,972  in Coinbase Bitcoin USD on November 10, 2017 and sell it today you would earn a total of  843,828  from holding Coinbase Bitcoin USD or generate 131.65% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Coinbase Bitcoin and LiveCoin Diamond
0.95

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Coinbase Bitcoin USD

  
22 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Coinbase Bitcoin USD are ranked lower than 22 (%) of all global equities and portfolios over the last 30 days.

LiveCoin Diamond USD

  
10 

Risk-Adjusted Performance

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