How closely the returns of two assets move together, from −1 to +1.
Last verified 13 September 2026 · written by the DexLadder team
What it means
How closely the returns of two assets move together, from −1 to +1.
Why it matters when you trade
Correlation is what turns a diversified-looking portfolio into one trade. Crypto correlations rise toward 1 exactly when it hurts — in a liquidation-driven flush, almost everything falls together against the dollar. Ten altcoin positions are usually one Bitcoin-beta position with extra fees, and sizing should reflect the single underlying bet.
Worked example
Five "uncorrelated" alt longs draw down together in a single flush; combined risk was five times the intended amount.
See it on live markets
DexLadder runs correlation against live market and pool data, with simulated capital, so you can watch it act on an order instead of reading about it — no account, no wallet, nothing installed.