This module allows you to analyze existing cross correlation between Yobit Ethereum Classic USD and LocalBitcoins Bitcoin USD. You can compare the effects of market volatilities on Yobit Ethereum and LocalBitcoins 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 Yobit Ethereum with a short position of LocalBitcoins Bitcoin. See also your portfolio center
. Please also check ongoing floating volatility patterns of Yobit Ethereum
and LocalBitcoins Bitcoin
Over the last 30 days Yobit Ethereum Classic USD has generated negative risk-adjusted returns adding no value to investors with long positions.
Compared to the overall equity markets, risk-adjusted returns on investments in LocalBitcoins Bitcoin USD are ranked lower than 10 (%) of all global equities and portfolios over the last 30 days.
Yobit Ethereum and LocalBitcoins Bitcoin Volatility Contrast
Yobit Ethereum Classic USD vs. LocalBitcoins Bitcoin USD
Assuming 30 trading days horizon, Yobit Ethereum Classic USD is expected to under-perform the LocalBitcoins Bitcoin. But the crypto apears to be less risky and, when comparing its historical volatility, Yobit Ethereum Classic USD is 7.17 times less risky than LocalBitcoins Bitcoin. The crypto trades about -0.41 of its potential returns per unit of risk. The LocalBitcoins Bitcoin USD is currently generating about 0.16 of returns per unit of risk over similar time horizon. If you would invest 632,050 in LocalBitcoins Bitcoin USD on November 19, 2018 and sell it today you would lose (82,050) from holding LocalBitcoins Bitcoin USD or give up 12.98% of portfolio value over 30 days.
Pair Corralation between Yobit Ethereum and LocalBitcoins Bitcoin
|Time Period||2 Months [change]|
Diversification Opportunities for Yobit Ethereum and LocalBitcoins Bitcoin
Very weak diversification
Overlapping area represents the amount of risk that can be diversified away by holding Yobit Ethereum Classic USD and LocalBitcoins Bitcoin USD in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on LocalBitcoins Bitcoin USD and Yobit 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 Yobit Ethereum Classic USD are associated (or correlated) with LocalBitcoins Bitcoin. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LocalBitcoins Bitcoin USD has no effect on the direction of Yobit Ethereum i.e. Yobit Ethereum and LocalBitcoins Bitcoin go up and down completely randomly.