Does Banyan Network depend on Bitcoin? Based on the correlation analysis, BTC and BBN* have a very strong negative relationship. The correlation coefficient of their prices is -0.84, which was calculated based on the previous 100-days' price movements of both cryptocurrencies.
This coefficient may adjust 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 currencies are going in the opposite trend while the positive coefficient shows that the prices are moving in the identical trend. For instance, if Bitcoin and Banyan Network connection is positively strong, it means that when BTC is rising BBN* will grow as well. The negative strong relation will indicate that when BTC is growing BBN* price will be in contrary decreasing.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over Banyan Network. If we take all the factors affecting the price of BBN* as 100%, then the share of BTC price among these factors will be 70.56%. The other part which is 29.44% covers all the other aspects, such as news, events or regulations.