Does Facecoin depend on Bitcoin? Based on the correlation analysis, BTC and FC have a strong positive relationship. The correlation coefficient of their values is 0.68, which was estimated based on the last 100-days' price fluctuations of both currencies.
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 tells that the prices of the cryptocurrencies are moving in the reversed direction while the positive coefficient indicates that the prices are moving in the identical direction. For example, if Bitcoin and Facecoin connection is positively strong, it means that when BTC is rising FC will grow as well. The negative strong relation will tell that when BTC is rising FC value will be in contrary decreasing.
The knowledge of the correlation coefficient helps to compute in percentage the influence of Bitcoin over Facecoin. If we take all the factors affecting the price of FC as 100%, then the share of BTC price among these factors will be 46.24%. The other part which is 53.76% covers all the other aspects, such as news, technological releases or regulations.