SonarWatch (SONAR) and Bitcoin (BTC) compared side by side. Their daily returns move barely together (correlation 0.31 across 24 shared trading days). BTC has been the more volatile of the two, at 44% annualised against SONAR's 7%.
SONARBTC
0.31over 24 shared trading days
Measured on daily returns rather than on prices. Two assets that both simply trend upward score near 1.0 on raw prices whether or not they move together, so returns are what answer the question people mean by correlation.
| Metric | SONAR | BTC |
|---|---|---|
| Max drawdown (400d) | -1.7% | -53.0% |
| Risk-adjusted return (90d) | -0.17 | 0.63 |
| Best 30 days (past year) | — | +26.8% |
| Worst 30 days (past year) | — | -32.9% |
Relative strength over 90 days: SONAR outperformed BTC by 4.2% — measured on the SONAR/BTC ratio, so it holds regardless of market direction.