Does CrabCoin depend on Bitcoin? According to the correlation analysis, BTC and CRAB 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 fluctuations of both currencies.
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 shows that the prices of the cryptocurrencies are going in the reversed direction while the positive coefficient tells that the prices are moving in the identical trend. For instance, if Bitcoin and CrabCoin connection is positively strong, it means that when BTC is rising CRAB will rise as well. The negative strong relation will point that when BTC is growing CRAB price will be in contrary decreasing.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over CrabCoin. If we take all the things affecting the price of CRAB 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 things, such as media, technological releases or regulations.