Does Cannabis Industry Coin depend on Bitcoin? According to the correlation analysis, BTC and XCI have a very strong positive relationship. The correlation coefficient of their values is 0.91, which was estimated based on the last 100-days' price fluctuations of both coins.
This coefficient may vary 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 cryptocurrencies are moving in the reversed direction while the positive coefficient indicates that the prices are moving in the same direction. For instance, if Bitcoin and Cannabis Industry Coin connection is positively strong, it means that when BTC is growing XCI will rise as well. The negative strong relation will indicate that when BTC is growing XCI value will be in opposite decreasing.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over Cannabis Industry Coin. If we take all the factors affecting the price of XCI 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 media, technological releases or crypto related laws.