This module allows you to analyze existing cross correlation between Kraken Bitcoin USD and Bitstamp Bitcoin USD. You can compare the effects of market volatilities on Kraken Bitcoin and Bitstamp Bitcoin 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 Kraken Bitcoin with a short position of Bitstamp Bitcoin. See also your portfolio center. Please also check ongoing floating volatility patterns of Kraken Bitcoin and Bitstamp Bitcoin.
|Time Horizon||30 Days Login to change|
Kraken Bitcoin USD vs. Bitstamp Bitcoin USD
Assuming 30 trading days horizon, Kraken Bitcoin USD is expected to under-perform the Bitstamp Bitcoin. But the crypto apears to be less risky and, when comparing its historical volatility, Kraken Bitcoin USD is 1.05 times less risky than Bitstamp Bitcoin. The crypto trades about -0.16 of its potential returns per unit of risk. The Bitstamp Bitcoin USD is currently generating about -0.15 of returns per unit of risk over similar time horizon. If you would invest 741,882 in Bitstamp Bitcoin USD on May 24, 2018 and sell it today you would lose (127,382) from holding Bitstamp Bitcoin USD or give up 17.17% of portfolio value over 30 days.