Bitcoin Cash Market Value
| BCH Crypto | USD 504.88 27.05 5.66% |
| Symbol | Bitcoin |
Bitcoin Cash 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Bitcoin Cash's crypto coin what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Bitcoin Cash.
| 03/26/2024 |
| 04/25/2024 |
If you would invest 0.00 in Bitcoin Cash on March 26, 2024 and sell it all today you would earn a total of 0.00 from holding Bitcoin Cash or generate 0.0% return on investment in Bitcoin Cash over 30 days. Bitcoin Cash is related to or competes with Bitcoin, Dogecoin, Litecoin, Ethereum Classic, Monero, Arweave, and Bitcoin SV. Bitcoin Cash is peer-to-peer digital currency powered by the Blockchain technology.
Bitcoin Cash Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Bitcoin Cash's crypto coin current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Bitcoin Cash upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 6.18 | |||
| Information Ratio | 0.1592 | |||
| Maximum Drawdown | 78.47 | |||
| Value At Risk | (7.57) | |||
| Potential Upside | 12.11 |
Bitcoin Cash Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Bitcoin Cash's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Bitcoin Cash's standard deviation. In reality, there are many statistical measures that can use Bitcoin Cash historical prices to predict the future Bitcoin Cash's volatility.| Risk Adjusted Performance | 0.1151 | |||
| Jensen Alpha | 1.25 | |||
| Total Risk Alpha | 0.2901 | |||
| Sortino Ratio | 0.2352 | |||
| Treynor Ratio | 0.4619 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Bitcoin Cash's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Bitcoin Cash Backtested Returns
Bitcoin Cash is abnormally risky given 3 months investment horizon. Bitcoin Cash secures Sharpe Ratio (or Efficiency) of 0.16, which signifies that digital coin had a 0.16% return per unit of risk over the last 3 months. We have analyze and collected data for thirty different technical indicators, which can help you to evaluate if expected returns of 1.51% are justified by taking the suggested risk. Use Bitcoin Cash Downside Deviation of 6.18, mean deviation of 4.94, and Risk Adjusted Performance of 0.1151 to evaluate coin specific risk that cannot be diversified away. The crypto shows a Beta (market volatility) of 3.33, which signifies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Bitcoin Cash will likely underperform.
Auto-correlation | -0.63 |
Very good reverse predictability
Bitcoin Cash has very good reverse predictability. Overlapping area represents the amount of predictability between Bitcoin Cash time series from 26th of March 2024 to 10th of April 2024 and 10th of April 2024 to 25th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Bitcoin Cash price movement. The serial correlation of -0.63 indicates that roughly 63.0% of current Bitcoin Cash price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.63 | |
| Spearman Rank Test | -0.28 | |
| Residual Average | 0.0 | |
| Price Variance | 1590.05 |
Bitcoin Cash lagged returns against current returns
Autocorrelation, which is Bitcoin Cash crypto coin's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Bitcoin Cash's crypto coin expected returns. We can calculate the autocorrelation of Bitcoin Cash returns to help us make a trade decision. For example, suppose you find that Bitcoin Cash has exhibited high autocorrelation historically, and you observe that the crypto coin is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Bitcoin Cash regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Bitcoin Cash crypto coin is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Bitcoin Cash crypto coin is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Bitcoin Cash crypto coin over time.
Current vs Lagged Prices |
| Timeline |
Bitcoin Cash Lagged Returns
When evaluating Bitcoin Cash's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Bitcoin Cash crypto coin have on its future price. Bitcoin Cash autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Bitcoin Cash autocorrelation shows the relationship between Bitcoin Cash crypto coin current value and its past values and can show if there is a momentum factor associated with investing in Bitcoin Cash.
Regressed Prices |
| Timeline |
Pair Trading with Bitcoin Cash
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Bitcoin Cash position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Bitcoin Cash will appreciate offsetting losses from the drop in the long position's value.Moving together with Bitcoin Crypto Coin
| 0.84 | BTC | Bitcoin | PairCorr |
| 0.93 | DOGE | Dogecoin | PairCorr |
| 0.92 | LTC | Litecoin | PairCorr |
| 0.65 | ETC | Ethereum Classic | PairCorr |
Moving against Bitcoin Crypto Coin
| 0.73 | GRIN | GRIN | PairCorr |
| 0.73 | CLO | CLO | PairCorr |
| 0.5 | EMC | EMC | PairCorr |
The ability to find closely correlated positions to Bitcoin Cash could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Bitcoin Cash when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Bitcoin Cash - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Bitcoin Cash to buy it.
The correlation of Bitcoin Cash is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Bitcoin Cash moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Bitcoin Cash moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Bitcoin Cash can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Bitcoin Cash Correlation, Bitcoin Cash Volatility and Investing Opportunities module to complement your research on Bitcoin Cash. Note that the Bitcoin Cash information on this page should be used as a complementary analysis to other Bitcoin Cash's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Stocks Directory module to find actively traded stocks across global markets.
Bitcoin Cash technical crypto coin analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, crypto market cycles, or different charting patterns.