Aeternity (AE)





Bitcoin and Aeternity Correlation

Does Aeternity depend on Bitcoin? According to the correlation analysis, BTC and AE have a very strong positive relationship. The correlation coefficient of their prices is 0.73, which was computed based on the previous 100-days' price movements of both currencies.

This coefficient may change from -1 to 1, where -1 is the strongest negative correlation, 0 is no correlation at all and 1 is the strongest positive correlation.

The negative coefficient indicates that the prices of the assets are going in the opposite direction while the positive coefficient means that the prices are moving in the identical direction. For example, if Bitcoin and Aeternity connection is positively strong, it means that when BTC is rising AE will grow as well. The negative strong relation will tell that when BTC is growing AE value will be in contrary decreasing.

The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over Aeternity. If we take all the factors affecting the price of AE as 100%, then the share of BTC price among these factors will be 53.29%. The other part which is 46.71% covers all the other factors, such as news, events or crypto related laws.