Correlation Between Bitget Token and XT Token
Can any of the company-specific risk be diversified away by investing in both Bitget Token and XT Token at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Bitget Token and XT Token into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Bitget token and XT Token, you can compare the effects of market volatilities on Bitget Token and XT Token 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 Bitget Token with a short position of XT Token. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bitget Token and XT Token.
Diversification Opportunities for Bitget Token and XT Token
0.54 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Bitget and XT Token is 0.54. Overlapping area represents the amount of risk that can be diversified away by holding Bitget token and XT Token in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on XT Token and Bitget Token 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 Bitget token are associated (or correlated) with XT Token. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of XT Token has no effect on the direction of Bitget Token i.e., Bitget Token and XT Token go up and down completely randomly.
Pair Corralation between Bitget Token and XT Token
Assuming the 90 days trading horizon Bitget Token is expected to generate 5.65 times less return on investment than XT Token. But when comparing it to its historical volatility, Bitget token is 11.35 times less risky than XT Token. It trades about 0.09 of its potential returns per unit of risk. XT Token is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 0.00 in XT Token on April 20, 2025 and sell it today you would earn a total of 549.00 from holding XT Token or generate 9.223372036854776E16% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bitget token vs. XT Token
Performance |
| Timeline |
| Bitget token |
| XT Token |
Bitget Token and XT Token Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bitget Token and XT Token
The main advantage of trading using opposite Bitget Token and XT Token positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bitget Token position performs unexpectedly, XT Token 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 XT Token will offset losses from the drop in XT Token's long position.The idea behind Bitget token and XT Token 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.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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments |