Does Elacoin depend on Bitcoin? According to the correlation analysis, BTC and ELC 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 movements 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 means that the prices of the cryptocurrencies are going in the opposite direction while the positive coefficient indicates that the prices are going in the same trend. For example, if Bitcoin and Elacoin connection is positively strong, it means that when BTC is growing ELC will rise as well. The negative strong relation will show that when BTC is growing ELC price will be in contrary lowering.
The knowledge of the correlation coefficient helps to calculate in percentage the influence of Bitcoin over Elacoin. If we take all the circumstances affecting the price of ELC 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.