Does ChoofCoin depend on Bitcoin? Based on the correlation analysis, BTC and CHOOF have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was estimated based on the previous 100-days' price dynamics of both coins.
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 cryptocurrencies are going in the contrary direction while the positive coefficient tells that the prices are going in the identical direction. For instance, if Bitcoin and ChoofCoin connection is positively strong, it means that when BTC is rising CHOOF will grow as well. The negative strong relation will indicate that when BTC is growing CHOOF value will be in opposite lowering.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over ChoofCoin. If we take all the circumstances affecting the price of CHOOF 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 aspects, such as news, technological releases or regulations.