Does CryptoBuk depend on Bitcoin? Based on the correlation analysis, BTC and BUK have a very strong positive relationship. The correlation coefficient of their values is 0.91, which was computed based on the previous 100-days' price movements of both assets.
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 tells that the prices of the assets are going in the opposite trend while the positive coefficient means that the prices are moving in the same trend. For example, if Bitcoin and CryptoBuk connection is positively strong, it means that when BTC is rising BUK will grow as well. The negative strong relation will point that when BTC is rising BUK price will be in contrary lowering.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over CryptoBuk. If we take all the things affecting the price of BUK 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 news, events or crypto related laws.