Cryptocurrency Correlation and Cointegration Analysis: Portfolio Diversification, Hedging Strategies, and Statistical Arbitrage Opportunities
Introduction
In just over a decade, digital assets have grown from a cypherpunk experiment to a multi-trillion-dollar asset class. Yet the same traits that make cryptocurrencies exciting—24/7 trading, global accessibility, and a rapid pace of innovation—also make the market notoriously volatile. To tame that volatility, investors are