Pair is still diverging, but the momentum is slowing. A potential reversal candidate.
Regime: PEAK_DIVERGENCE (medium confidence)
Correlation: 0.74 · Cointegrated: yes
Z-score: -1.34 entry / -2.38 rolling
Half-life 2.4h · Hurst 0.94 · Hedge ratio 0.90
Pair volatility: 36.21%
Backtest: 71.43% win · Sharpe 0.90 · 0.82% return · 2.45% max drawdown
Pair Analysis: Long BRETT / Short NEO
Statistical Snapshot
- 1h Roll Z-Score: -2.38 (BRETT is statistically "cheap" relative to NEO)
- 4h Roll Z-Score: -3.33 (Strong mean-reversion signal)
- 1d Roll Z-Score: -0.42 (Neutral/slightly "rich")
- Correlation: 0.72–0.74 (Moderate-to-high)
- Hedge Weights (4h): 45.2% BRETT / 54.8% NEO
Sentiment & Technical Context
- Sentiment Conflict: This trade is a classic "mean reversion vs. trend" setup. The statistical z-scores (1h/4h) strongly suggest BRETT is oversold relative to NEO, favoring a Long BRETT / Short NEO position. However, current sentiment is diametrically opposed: BRETT is facing bearish short-term pressure, while NEO is bullish due to upcoming infrastructure catalysts (Gorgon hard fork, institutional custody).
- Risk Note: You are effectively betting against the current fundamental trend to capture a statistical mean reversion. The 1h/4h z-scores indicate the pair has diverged significantly, but the bearish sentiment on BRETT suggests the "cheap" valuation may persist or worsen if the fundamental sell-off continues.
Tradeability
- BRETT: Listed on Hyperliquid (Max 3x leverage)
- NEO: Listed on Hyperliquid (Max 5x leverage)
BRETT
NEO