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These Three Crypto Assets Are Least Correlated to Bitcoin, Data Shows

22 Jan These Three Crypto Assets Are Least Correlated to Bitcoin, Data Shows

Posted at 13:13h in Bitcoin News by

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Out of more than 5,000 high and small-cap crypto assets, only three have displayed close to zero correlation with bitcoin.

A Binance Research report published earlier Wednesday named ATOM as the cryptocurrency that is least concern with the price movements of bitcoin. The Cosmos blockchain’s staking token has a median annual coefficient of 0.31, which indicates its lack of linear relationship with the benchmark cryptocurrency.

The same report listed Chainlink’s LINK and Tezos’ XTZ as the second- and third-least correlated assets to bitcoin, with coefficients of 0.32 and 0.4, respectively.

Hedging Within

Correlation between two assets is typically measured on a scale of -1 to +1. Assets with negative or close-to-zero correlation tend to move in the opposite direction.

Similarly, a coefficient of 0.5 or more indicates a direct proportional behavior, which allows the two different assets to move in the same direction.

Binance noted that Bitcoin behaves like a default locomotive to the…

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