Does Finlocale depend on Bitcoin? According to the correlation analysis, BTC and FNL have a very strong positive relationship. The correlation coefficient of their values is 0.91, which was calculated based on the last 100-days' price fluctuations of both cryptocurrencies.
This coefficient may change 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 currencies are moving in the reversed trend while the positive coefficient points that the prices are going in the same direction. For example, if Bitcoin and Finlocale connection is positively strong, it means that when BTC is rising FNL will rise as well. The negative strong relation will show that when BTC is rising FNL value will be in contrary lowering.
The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over Finlocale. If we take all the aspects affecting the price of FNL 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 media, events or politics.