Does GayCoin depend on Bitcoin? Based on the correlation analysis, BTC and GAY have a very strong positive relationship. The correlation coefficient of their values is 0.91, which was measured based on the previous 100-days' price movements of both coins.
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 indicates that the prices of the coins are going in the opposite direction while the positive coefficient indicates that the prices are moving in the same trend. For instance, if Bitcoin and GayCoin connection is positively strong, it means that when BTC is growing GAY will rise as well. The negative strong relation will indicate that when BTC is growing GAY price will be in contrary lowering.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over GayCoin. If we take all the factors affecting the price of GAY 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 factors, such as media, events or crypto related laws.