This module allows you to analyze existing cross correlation between LocalBitcoins Bitcoin USD and Bitstamp Ethereum USD. You can compare the effects of market volatilities on LocalBitcoins Bitcoin and Bitstamp 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 LocalBitcoins Bitcoin with a short position of Bitstamp Ethereum. See also your portfolio center. Please also check ongoing floating volatility patterns of LocalBitcoins Bitcoin and Bitstamp Ethereum.
|Time Horizon||30 Days Login to change|
LocalBitcoins Bitcoin USD vs. Bitstamp Ethereum USD
Assuming 30 trading days horizon, LocalBitcoins Bitcoin USD is expected to generate 6.19 times more return on investment than Bitstamp Ethereum. However, LocalBitcoins Bitcoin is 6.19 times more volatile than Bitstamp Ethereum USD. It trades about 0.13 of its potential returns per unit of risk. Bitstamp Ethereum USD is currently generating about -0.16 per unit of risk. If you would invest 829,176 in LocalBitcoins Bitcoin USD on May 25, 2018 and sell it today you would lose (56,564) from holding LocalBitcoins Bitcoin USD or give up 6.82% of portfolio value over 30 days.