Ethereum Classic Market Value
| ETC Crypto | USD 26.95 0.06 0.22% |
| Symbol | Ethereum |
Ethereum Classic '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 Ethereum Classic'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 Ethereum Classic.
| 05/17/2022 |
| 05/06/2024 |
If you would invest 0.00 in Ethereum Classic on May 17, 2022 and sell it all today you would earn a total of 0.00 from holding Ethereum Classic or generate 0.0% return on investment in Ethereum Classic over 720 days. Ethereum Classic is related to or competes with Bitcoin, Dogecoin, Bitcoin Cash, Litecoin, Arweave, Monero, and Bitcoin SV. Ethereum Classic is peer-to-peer digital currency powered by the Blockchain technology.
Ethereum Classic 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 Ethereum Classic'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 Ethereum Classic upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 5.34 | |||
| Information Ratio | 0.0333 | |||
| Maximum Drawdown | 26.67 | |||
| Value At Risk | (8.84) | |||
| Potential Upside | 7.94 |
Ethereum Classic Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Ethereum Classic's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Ethereum Classic's standard deviation. In reality, there are many statistical measures that can use Ethereum Classic historical prices to predict the future Ethereum Classic's volatility.| Risk Adjusted Performance | 0.04 | |||
| Jensen Alpha | 0.1433 | |||
| Total Risk Alpha | (0.31) | |||
| Sortino Ratio | 0.0305 | |||
| Treynor Ratio | 0.181 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Ethereum Classic'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.
Ethereum Classic Backtested Returns
Ethereum Classic appears to be very risky, given 3 months investment horizon. Ethereum Classic secures Sharpe Ratio (or Efficiency) of 0.0462, which denotes digital coin had a 0.0462% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Ethereum Classic, which you can use to evaluate the volatility of coin. Please utilize Ethereum Classic's Mean Deviation of 3.5, downside deviation of 5.34, and Coefficient Of Variation of 2018.81 to check if our risk estimates are consistent with your expectations. The crypto shows a Beta (market volatility) of 1.28, which means 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, Ethereum Classic will likely underperform.
Auto-correlation | -0.36 |
Poor reverse predictability
Ethereum Classic has poor reverse predictability. Overlapping area represents the amount of predictability between Ethereum Classic time series from 17th of May 2022 to 12th of May 2023 and 12th of May 2023 to 6th of May 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 Ethereum Classic price movement. The serial correlation of -0.36 indicates that just about 36.0% of current Ethereum Classic price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.36 | |
| Spearman Rank Test | -0.38 | |
| Residual Average | 0.0 | |
| Price Variance | 33.9 |
Ethereum Classic lagged returns against current returns
Autocorrelation, which is Ethereum Classic 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 Ethereum Classic's crypto coin expected returns. We can calculate the autocorrelation of Ethereum Classic returns to help us make a trade decision. For example, suppose you find that Ethereum Classic 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 |
Ethereum Classic 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 Ethereum Classic crypto coin is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Ethereum Classic crypto coin is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Ethereum Classic crypto coin over time.
Current vs Lagged Prices |
| Timeline |
Ethereum Classic Lagged Returns
When evaluating Ethereum Classic's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Ethereum Classic crypto coin have on its future price. Ethereum Classic 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, Ethereum Classic autocorrelation shows the relationship between Ethereum Classic crypto coin current value and its past values and can show if there is a momentum factor associated with investing in Ethereum Classic.
Regressed Prices |
| Timeline |
Pair Trading with Ethereum Classic
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 Ethereum Classic 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 Ethereum Classic will appreciate offsetting losses from the drop in the long position's value.Moving together with Ethereum Crypto Coin
| 0.72 | BTC | Bitcoin | PairCorr |
| 0.67 | DOGE | Dogecoin | PairCorr |
| 0.74 | LTC | Litecoin | PairCorr |
| 0.68 | AR | Arweave | PairCorr |
The ability to find closely correlated positions to Ethereum Classic could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Ethereum Classic 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 Ethereum Classic - 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 Ethereum Classic to buy it.
The correlation of Ethereum Classic 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 Ethereum Classic moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ethereum Classic 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 Ethereum Classic 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 Ethereum Classic Correlation, Ethereum Classic Volatility and Investing Opportunities module to complement your research on Ethereum Classic. Note that the Ethereum Classic information on this page should be used as a complementary analysis to other Ethereum Classic'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 Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
Ethereum Classic 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.