FreeCoin (FRE)





Bitcoin and FreeCoin Correlation

Does FreeCoin depend on Bitcoin? According to the correlation analysis, BTC and FRE have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was computed based on the last 100-days' price dynamics of both coins.

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 shows that the prices of the assets are moving in the contrary direction while the positive coefficient indicates that the prices are moving in the identical direction. For example, if Bitcoin and FreeCoin connection is positively strong, it means that when BTC is rising FRE will grow as well. The negative strong relation will show that when BTC is rising FRE price will be in contrary decreasing.

The knowledge of the correlation coefficient helps to compute in percentage the influence of Bitcoin over FreeCoin. If we take all the circumstances affecting the price of FRE 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 circumstances, such as news, technological releases or regulations.