Does Halal depend on Bitcoin? Based on the correlation analysis, BTC and HALAL have a very strong negative relationship. The correlation coefficient of their prices is -0.77, which was computed based on the previous 100-days' price dynamics of both currencies.
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 means that the prices of the assets are going in the contrary direction while the positive coefficient means that the prices are going in the same trend. For example, if Bitcoin and Halal connection is positively strong, it means that when BTC is rising HALAL will rise as well. The negative strong relation will point that when BTC is growing HALAL price will be in contrary lowering.
The knowledge of the correlation coefficient helps to calculate in percentage the influence of Bitcoin over Halal. If we take all the factors affecting the price of HALAL as 100%, then the share of BTC price among these factors will be 59.29%. The other part which is 40.71% covers all the other aspects, such as news, technological releases or crypto related laws.