This module allows you to analyze existing cross correlation between Coinbase Bitcoin USD and LiveCoin PutinCoin USD. You can compare the effects of market volatilities on Coinbase Bitcoin and LiveCoin PutinCoin 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 PutinCoin. See also your portfolio center
. Please also check ongoing floating volatility patterns of Coinbase Bitcoin
and LiveCoin PutinCoin
Coinbase Bitcoin USD vs LiveCoin PutinCoin USD
Assuming 30 trading days horizon, Coinbase Bitcoin is expected to generate 1.19 times less return on investment than LiveCoin PutinCoin. But when comparing it to its historical volatility, Coinbase Bitcoin USD is 2.26 times less risky than LiveCoin PutinCoin. It trades about 0.35 of its potential returns per unit of risk. LiveCoin PutinCoin USD is currently generating about 0.18 of returns per unit of risk over similar time horizon. If you would invest 1 in LiveCoin PutinCoin USD on November 10, 2017 and sell it today you would earn a total of 0.79 from holding LiveCoin PutinCoin USD or generate 78.6% return on investment over 30 days.
|Time Period||1 Month [change]|
Very poor diversification
Overlapping area represents the amount of risk that can be diversified away by holding Coinbase Bitcoin USD and LiveCoin PutinCoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on LiveCoin PutinCoin 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 PutinCoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LiveCoin PutinCoin USD has no effect on the direction of Coinbase Bitcoin i.e. Coinbase Bitcoin and LiveCoin PutinCoin go up and down completely randomly.
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.
Compared to the overall equity markets, risk-adjusted returns on investments in LiveCoin PutinCoin USD are ranked lower than 11 (%) of all global equities and portfolios over the last 30 days.