21Shares Ethereum (Switzerland) Volatility
| ETHC Etf | 6.66 3.34 33.40% |
21Shares Ethereum Core secures Sharpe Ratio (or Efficiency) of -0.15, which signifies that the etf had a -0.15 % return per unit of risk over the last 3 months. 21Shares Ethereum Core exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm 21Shares Ethereum's mean deviation of 3.49, and Variance of 30.8 to double-check the risk estimate we provide.
21Shares |
21Shares Ethereum Etf volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of 21Shares daily returns, and it is calculated using variance and standard deviation. We also use 21Shares's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of 21Shares Ethereum volatility.
Downward market volatility can be a perfect environment for investors who play the long game with 21Shares Ethereum. They may decide to buy additional shares of 21Shares Ethereum at lower prices to lower the average cost per share, thereby improving their portfolio's performance when markets normalize.
Moving together with 21Shares Etf
Moving against 21Shares Etf
| 0.6 | SRFCHA | UBS ETF SXI | PairCorr |
| 0.48 | LYHLT | Multi Units Luxembourg | PairCorr |
| 0.45 | AUCHAH | UBS ETF Gold | PairCorr |
| 0.43 | IASP | iShares Asia Property | PairCorr |
| 0.37 | CCUSAS | UBS Fund Solutions | PairCorr |
21Shares Ethereum Market Sensitivity And Downside Risk
21Shares Ethereum's beta coefficient measures the volatility of 21Shares etf compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents 21Shares etf's returns against your selected market. In other words, 21Shares Ethereum's beta of -0.82 provides an investor with an approximation of how much risk 21Shares Ethereum etf can potentially add to one of your existing portfolios. 21Shares Ethereum Core exhibits very low volatility with skewness of -2.96 and kurtosis of 17.29. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure 21Shares Ethereum's etf risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact 21Shares Ethereum's etf price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.
3 Months Beta |Analyze 21Shares Ethereum Core Demand TrendCheck current 90 days 21Shares Ethereum correlation with market (Dow Jones Industrial)21Shares Ethereum Volatility and Downside Risk
21Shares standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
21Shares Ethereum Core Etf Volatility Analysis
Volatility refers to the frequency at which 21Shares Ethereum etf price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with 21Shares Ethereum's price changes. Investors will then calculate the volatility of 21Shares Ethereum's etf to predict their future moves. A etf that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A etf with relatively stable price changes has low volatility. A highly volatile etf is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of 21Shares Ethereum's volatility:
Historical Volatility
This type of etf volatility measures 21Shares Ethereum's fluctuations based on previous trends. It's commonly used to predict 21Shares Ethereum's future behavior based on its past. However, it cannot conclusively determine the future direction of the etf.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for 21Shares Ethereum's current market price. This means that the etf will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on 21Shares Ethereum's to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. The Median Price line plots median indexes of 21Shares Ethereum Core price series.
21Shares Ethereum Projected Return Density Against Market
Assuming the 90 days trading horizon 21Shares Ethereum Core has a beta of -0.8213 suggesting as returns on the benchmark increase, returns on holding 21Shares Ethereum are expected to decrease at a much lower rate. During a bear market, however, 21Shares Ethereum Core is likely to outperform the market.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to 21Shares Ethereum or 21Shares sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that 21Shares Ethereum's price will be affected by overall etf market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a 21Shares etf's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
21Shares Ethereum Core has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Predicted Return Density |
| Returns |
What Drives a 21Shares Ethereum Price Volatility?
Several factors can influence a etf's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract investor attention to the company. This positive attention may impact the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.21Shares Ethereum Etf Risk Measures
Assuming the 90 days trading horizon the coefficient of variation of 21Shares Ethereum is -645.83. The daily returns are distributed with a variance of 32.74 and standard deviation of 5.72. The mean deviation of 21Shares Ethereum Core is currently at 3.51. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.73
α | Alpha over Dow Jones | -0.94 | |
β | Beta against Dow Jones | -0.82 | |
σ | Overall volatility | 5.72 | |
Ir | Information ratio | -0.18 |
21Shares Ethereum Etf Return Volatility
21Shares Ethereum historical daily return volatility represents how much of 21Shares Ethereum etf's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The fund accepts 5.7221% volatility on return distribution over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7587% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
Related Correlations Analysis
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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21Shares Ethereum Competition Risk-Adjusted Indicators
There is a big difference between 21Shares Etf performing well and 21Shares Ethereum ETF doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze 21Shares Ethereum's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| META | 1.63 | (0.12) | 0.00 | (0.07) | 0.00 | 3.43 | 13.36 | |||
| MSFT | 1.22 | (0.37) | 0.00 | (2.30) | 0.00 | 1.78 | 13.28 | |||
| UBER | 1.46 | (0.27) | 0.00 | (0.31) | 0.00 | 2.46 | 10.23 | |||
| F | 1.23 | 0.05 | 0.04 | 0.09 | 1.22 | 3.38 | 7.16 | |||
| T | 0.96 | 0.04 | 0.01 | 0.21 | 1.04 | 1.85 | 3.77 | |||
| A | 1.20 | (0.17) | 0.00 | (0.08) | 0.00 | 2.90 | 7.85 | |||
| CRM | 1.54 | (0.31) | 0.00 | (0.26) | 0.00 | 2.94 | 12.37 | |||
| JPM | 1.09 | 0.02 | (0.02) | (0.11) | 1.67 | 1.88 | 7.38 | |||
| MRK | 1.28 | 0.33 | 0.23 | 0.52 | 1.13 | 3.59 | 8.09 | |||
| XOM | 1.10 | 0.29 | 0.19 | 15.60 | 1.03 | 2.38 | 5.82 |
About 21Shares Ethereum Volatility
Volatility is a rate at which the price of 21Shares Ethereum or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of 21Shares Ethereum may increase or decrease. In other words, similar to 21Shares's beta indicator, it measures the risk of 21Shares Ethereum and helps estimate the fluctuations that may happen in a short period of time. So if prices of 21Shares Ethereum fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.3 ways to utilize 21Shares Ethereum's volatility to invest better
Higher 21Shares Ethereum's etf volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of 21Shares Ethereum Core etf is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. 21Shares Ethereum Core etf volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of 21Shares Ethereum Core investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in 21Shares Ethereum's etf can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of 21Shares Ethereum's etf relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
21Shares Ethereum Investment Opportunity
21Shares Ethereum Core has a volatility of 5.72 and is 7.53 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of 21Shares Ethereum Core is higher than 51 percent of all global equities and portfolios over the last 90 days. You can use 21Shares Ethereum Core to protect your portfolios against small market fluctuations. The etf experiences a very speculative upward sentiment. Check odds of 21Shares Ethereum to be traded at 6.33 in 90 days.Very good diversification
The correlation between 21Shares Ethereum Core and DJI is -0.27 (i.e., Very good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding 21Shares Ethereum Core and DJI in the same portfolio, assuming nothing else is changed.
21Shares Ethereum Additional Risk Indicators
The analysis of 21Shares Ethereum's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in 21Shares Ethereum's investment and either accepting that risk or mitigating it. Along with some common measures of 21Shares Ethereum etf's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | (0.12) | |||
| Market Risk Adjusted Performance | 1.2 | |||
| Mean Deviation | 3.49 | |||
| Coefficient Of Variation | (574.39) | |||
| Standard Deviation | 5.55 | |||
| Variance | 30.8 | |||
| Information Ratio | (0.18) |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential etfs, we recommend comparing similar etfs with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
21Shares Ethereum Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against 21Shares Ethereum as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. 21Shares Ethereum's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, 21Shares Ethereum's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to 21Shares Ethereum Core.
Other Information on Investing in 21Shares Etf
21Shares Ethereum financial ratios help investors to determine whether 21Shares Etf is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in 21Shares with respect to the benefits of owning 21Shares Ethereum security.