Correlation Analysis Between StocksExchange Bitcoin and itBit Bitcoin

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

Comparative Performance

StocksExchange Bitcoin  

Risk-Adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in StocksExchange Bitcoin USD are ranked lower than 4 (%) of all global equities and portfolios over the last 30 days. In spite of rather weak fundamental drivers, StocksExchange Bitcoin exhibited solid returns over the last few months and may actually be approaching a breakup point.
itBit Bitcoin USD  

Risk-Adjusted Performance

Over the last 30 days itBit Bitcoin USD has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, itBit Bitcoin is not utilizing all of its potentials. The latest stock price disturbance, may contribute to short term losses for the investors.

StocksExchange Bitcoin and itBit Bitcoin Volatility Contrast

 Predicted Return Density 

StocksExchange Bitcoin USD  vs.  itBit Bitcoin USD


Bitcoin on StocksExchange in USD

(10.59)  0.1%
Market Cap: 3.9 M


Bitcoin on itBit in USD

(58.25)  0.56%
Market Cap: 80.1 B
3.89% Risk Free Arbitrage
All Coins Arbitrage Correlation
 Performance (%) 

Pair Volatility

Assuming 30 trading days horizon, StocksExchange Bitcoin USD is expected to generate 3.26 times more return on investment than itBit Bitcoin. However, StocksExchange Bitcoin is 3.26 times more volatile than itBit Bitcoin USD. It trades about 0.07 of its potential returns per unit of risk. itBit Bitcoin USD is currently generating about -0.01 per unit of risk. If you would invest  1,169,700  in StocksExchange Bitcoin USD on July 24, 2019 and sell it today you would lose (98,146)  from holding StocksExchange Bitcoin USD or give up 8.39% of portfolio value over 30 days.

Pair Corralation between StocksExchange Bitcoin and itBit Bitcoin

Time Period2 Months [change]
StrengthVery Weak
ValuesDaily Returns

Diversification Opportunities for StocksExchange Bitcoin and itBit Bitcoin

StocksExchange Bitcoin USD diversification synergy

Modest diversification

Overlapping area represents the amount of risk that can be diversified away by holding StocksExchange Bitcoin USD and itBit Bitcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on itBit Bitcoin USD and StocksExchange 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 StocksExchange Bitcoin USD are associated (or correlated) with itBit Bitcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of itBit Bitcoin USD has no effect on the direction of StocksExchange Bitcoin i.e. StocksExchange Bitcoin and itBit Bitcoin go up and down completely randomly.
See also your portfolio center. Please also try Pair Correlation module to compare performance and examine historical correlation between any two equity instruments.