Does CIChain depend on Bitcoin? Based on the correlation analysis, BTC and CIC have a very strong positive relationship. The correlation coefficient of their prices is 0.76, which was calculated based on the previous 100-days' price dynamics of both assets.
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 shows that the prices of the currencies are going in the contrary trend while the positive coefficient shows that the prices are moving in the identical trend. For example, if Bitcoin and CIChain connection is positively strong, it means that when BTC is growing CIC will rise as well. The negative strong relation will point that when BTC is rising CIC value will be in contrary decreasing.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over CIChain. If we take all the aspects affecting the price of CIC as 100%, then the share of BTC price among these factors will be 57.76%. The other part which is 42.24% covers all the other circumstances, such as news, technological releases or politics.