Pair Correlation Between Kraken Ethereum and BitBay Ethereum

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

Kraken

Ethereum on Kraken in USD
 1,328 
339.36  34.34%
Market Cap: 79.2 B
(32.36)

BitBay

Ethereum on BitBay in USD
 1,360 
309.92  29.51%
Market Cap: 35.2 M
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Kraken Ethereum is expected to generate 1.08 times less return on investment than BitBay Ethereum. In addition to that, Kraken Ethereum is 1.08 times more volatile than BitBay Ethereum USD. It trades about 0.13 of its total potential returns per unit of risk. BitBay Ethereum USD is currently generating about 0.15 per unit of volatility. If you would invest  82,200  in BitBay Ethereum USD on December 18, 2017 and sell it today you would earn a total of  22,810  from holding BitBay Ethereum USD or generate 27.75% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Kraken Ethereum and BitBay Ethereum
0.96

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Kraken Ethereum USD

  
8 

Risk-Adjusted Performance

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

BitBay Ethereum USD

  
9 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in BitBay Ethereum USD are ranked lower than 9 (%) of all global equities and portfolios over the last 30 days.