Bitcoin and DEX Correlation

Does DEX depend on Bitcoin? According to the correlation analysis, BTC and DEX have no or negligible relationship. The correlation coefficient of their values is -0.05, which was estimated based on the previous 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 going in the reversed direction while the positive coefficient points that the prices are moving in the identical direction. For example, if Bitcoin and DEX connection is positively strong, it means that when BTC is rising DEX will rise as well. The negative strong relation will point that when BTC is rising DEX value will be in opposite decreasing.

The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over DEX. If we take all the things affecting the price of DEX as 100%, then the share of BTC price among these factors will be 0.25%. The other part which is 99.75% covers all the other aspects, such as news, events or politics.