Correlation Between Bitcoin and COL Digital
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bitcoin and COL Digital Publishing, you can compare the effects of market volatilities on Bitcoin and COL Digital 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 Bitcoin with a short position of COL Digital. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bitcoin and COL Digital.
Diversification Opportunities for Bitcoin and COL Digital
-0.43 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Bitcoin and COL is -0.43. Overlapping area represents the amount of risk that can be diversified away by holding Bitcoin and COL Digital Publishing in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on COL Digital Publishing and 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 Bitcoin are associated (or correlated) with COL Digital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of COL Digital Publishing has no effect on the direction of Bitcoin i.e., Bitcoin and COL Digital go up and down completely randomly.
Pair Corralation between Bitcoin and COL Digital
Assuming the 90 days trading horizon Bitcoin is expected to generate 0.64 times more return on investment than COL Digital. However, Bitcoin is 1.56 times less risky than COL Digital. It trades about 0.15 of its potential returns per unit of risk. COL Digital Publishing is currently generating about -0.17 per unit of risk. If you would invest 9,776,949 in Bitcoin on October 20, 2024 and sell it today you would earn a total of 658,751 from holding Bitcoin or generate 6.74% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
Bitcoin vs. COL Digital Publishing
Performance |
| Timeline |
| Bitcoin |
| COL Digital Publishing |
Bitcoin and COL Digital Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bitcoin and COL Digital
The main advantage of trading using opposite Bitcoin and COL Digital positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bitcoin position performs unexpectedly, COL Digital 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 COL Digital will offset losses from the drop in COL Digital's long position.The idea behind Bitcoin and COL Digital Publishing pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| COL Digital vs. Silkroad Visual Technology | COL Digital vs. Anhui Transport Consulting | COL Digital vs. Hengkang Medical Group | COL Digital vs. Zhongshan Public Utilities |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis 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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets |