Pair Correlation Between Lykke Ethereum and Bitstamp Ethereum

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

Lykke

Ethereum on Lykke in USD
 1,144 
(65.5)  5.42%
Market Cap: 30 M
 96.44 

Bitstamp

Ethereum on Bitstamp in USD
 1,047 
15.98  1.55%
Market Cap: 92.5 B
 Performance (%) 
      Timeline 

Pair Volatility

Assuming 30 trading days horizon, Lykke Ethereum is expected to generate 1.35 times less return on investment than Bitstamp Ethereum. But when comparing it to its historical volatility, Lykke Ethereum USD is 1.87 times less risky than Bitstamp Ethereum. It trades about 0.31 of its potential returns per unit of risk. Bitstamp Ethereum USD is currently generating about 0.22 of returns per unit of risk over similar time horizon. If you would invest  71,300  in Bitstamp Ethereum USD on December 22, 2017 and sell it today you would earn a total of  39,306  from holding Bitstamp Ethereum USD or generate 55.13% return on investment over 30 days.

Correlation Coefficient

Pair Corralation between Lykke Ethereum and Bitstamp Ethereum
0.68

Parameters

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

Diversification

Poor diversification

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

Comparative Volatility

 Predicted Return Density 
      Returns 

Lykke Ethereum USD

  
20 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Lykke Ethereum USD are ranked lower than 20 (%) of all global equities and portfolios over the last 30 days.

Lykke Ethereum USD

Pair trading matchups for Lykke Ethereum

Bitstamp Ethereum USD

  
14 

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Bitstamp Ethereum USD are ranked lower than 14 (%) of all global equities and portfolios over the last 30 days.

Bitstamp Ethereum USD

Pair trading matchups for Bitstamp Ethereum