Does BurstCoin depend on Bitcoin? Based on the correlation analysis, BTC and BURST have a strong positive relationship. The correlation coefficient of their prices is 0.53, which was calculated based on the last 100-days' price fluctuations of both currencies.
This coefficient may range 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 moving in the reversed direction while the positive coefficient shows that the prices are going in the identical trend. For instance, if Bitcoin and BurstCoin connection is positively strong, it means that when BTC is rising BURST will rise as well. The negative strong relation will point that when BTC is rising BURST price will be in contrary lowering.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over BurstCoin. If we take all the factors affecting the price of BURST as 100%, then the share of BTC price among these factors will be 28.09%. The other part which is 71.91% covers all the other circumstances, such as news, events or politics.