Does Grantcoin depend on Bitcoin? Based on the correlation analysis, BTC and GRT have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was estimated based on the previous 100-days' price movements of both cryptocurrencies.
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 shows that the prices of the cryptocurrencies are going in the opposite trend while the positive coefficient shows that the prices are moving in the identical direction. For example, if Bitcoin and Grantcoin connection is positively strong, it means that when BTC is rising GRT will grow as well. The negative strong relation will indicate that when BTC is growing GRT price will be in opposite lowering.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over Grantcoin. If we take all the factors affecting the price of GRT 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 crypto related laws.