Does FREE coin depend on Bitcoin? Based on the correlation analysis, BTC and FREE have a strong positive relationship. The correlation coefficient of their prices is 0.68, which was measured 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 shows that the prices of the coins are going in the opposite trend while the positive coefficient tells that the prices are going in the same direction. For example, if Bitcoin and FREE coin connection is positively strong, it means that when BTC is growing FREE will grow as well. The negative strong relation will tell that when BTC is rising FREE value will be in contrary lowering.
The knowledge of the correlation coefficient helps to calculate in percentage the influence of Bitcoin over FREE coin. If we take all the factors affecting the price of FREE 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 factors, such as media, technological releases or politics.