Does BitCredit depend on Bitcoin? According to the correlation analysis, BTC and BCR have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was calculated based on the previous 100-days' price fluctuations of both assets.
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 shows that the prices of the currencies are going in the reversed trend while the positive coefficient means that the prices are moving in the same direction. For instance, if Bitcoin and BitCredit connection is positively strong, it means that when BTC is growing BCR will rise as well. The negative strong relation will show that when BTC is growing BCR price will be in opposite lowering.
The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over BitCredit. If we take all the things affecting the price of BCR as 100%, then the share of BTC price among these factors will be 82.81%. The other part which is 17.19% covers all the other factors, such as news, technological releases or crypto related laws.