What makes a pair correlated or inversely correlated?

Mean-reverting pairs are obvious. Correlated pairs often move together, so Uniswap won’t exhibit as much impermanent loss there. Uncorrelated pairs like ETH/DAI are rough, but sometimes the fees can make up for it. And then there are the inverse c…
What explains the rise of AMMs?
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Haseeb Qureshi
Chjango Unchained ⛓️
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1 min read·
Jul 26, 2020
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What makes a pair correlated or inversely correlated?
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Written by Chjango Unchained ⛓️1.4K Followers
·68 Following
Translates hard technical concepts into laymen’s terms. Covers DeFi & Web 3.0. Host of Interchain.fm—validatoooor, investoooor & advisoooor for Cosmos ecosystem
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