Cointegration vs Half-Life Mean Reversion
Quick comparison to help you distinguish these two crypto terms.
Cointegration
advanced
technical_analysis
Statistical relationship where two non-stationary cryptocurrency prices move together predictably despite individual price trends, enabling profitable mean-reversion pairs trading strategies.
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advanced
strategy
The time required for a mean-reverting price spread to decline by fifty percent from its maximum deviation, measuring mean-reversion speed critical for pairs trading entry/exit timing.
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