Does GigCoin depend on Bitcoin? Based on the correlation analysis, BTC and GIG 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 fluctuations of both coins.
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 indicates that the prices of the assets are moving in the reversed direction while the positive coefficient points that the prices are moving in the same direction. For instance, if Bitcoin and GigCoin connection is positively strong, it means that when BTC is rising GIG will rise as well. The negative strong relation will tell that when BTC is growing GIG value will be in contrary lowering.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over GigCoin. If we take all the aspects affecting the price of GIG 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, events or crypto related laws.