Correlation Analysis Between LocalBitcoins Bitcoin and Coinbase Bitcoin

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

LocalBitcoins Bitcoin USD  vs.  Coinbase Bitcoin USD

LocalBitcoins

Bitcoin on LocalBitcoins in USD
 7,003 
1,553  18.15%
Market Cap: 3 B
  

Coinbase

Bitcoin on Coinbase in USD
 6,715 
63.99  0.94%
Market Cap: 159.2 B
 287.57 
4.11% Risk Free Arbitrage
All Coins Arbitrage Correlation
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, LocalBitcoins Bitcoin USD is expected to generate 11.0 times more return on investment than Coinbase Bitcoin. However, LocalBitcoins Bitcoin is 11.0 times more volatile than Coinbase Bitcoin USD. It trades about 0.14 of its potential returns per unit of risk. Coinbase Bitcoin USD is currently generating about -0.12 per unit of risk. If you would invest  809,270  in LocalBitcoins Bitcoin USD on May 22, 2018 and sell it today you would earn a total of  9,585  from holding LocalBitcoins Bitcoin USD or generate 1.18% return on investment over 30 days.

Pair Corralation between LocalBitcoins Bitcoin and Coinbase Bitcoin

0.42
Time Period1 Month [change]
DirectionPositive 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Diversification

Very weak diversification

Overlapping area represents the amount of risk that can be diversified away by holding LocalBitcoins Bitcoin USD and Coinbase Bitcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Coinbase Bitcoin USD and LocalBitcoins 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 LocalBitcoins Bitcoin USD are associated (or correlated) with Coinbase Bitcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Coinbase Bitcoin USD has no effect on the direction of LocalBitcoins Bitcoin i.e. LocalBitcoins Bitcoin and Coinbase Bitcoin go up and down completely randomly.

Comparative Volatility

 Predicted Return Density 
      Returns 
LocalBitcoins Bitcoin USD  
9 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in LocalBitcoins Bitcoin USD are ranked lower than 9 (%) of all global equities and portfolios over the last 30 days.
Coinbase Bitcoin USD  
0 

Risk-Adjusted Performance

Over the last 30 days Coinbase Bitcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions.

My Equities

My Current Equities and Potential Positions
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GOOG - USA Stock
Alphabet
Specialization
IT, Search Cloud And Integrated IT Services
Business Address1600 Amphitheatre Parkway
ExchangeNASDAQ
$1172.0

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