Does Heat Ledger depend on Bitcoin? According to the correlation analysis, BTC and HEAT have a very strong positive relationship. The correlation coefficient of their prices is 0.88, which was calculated based on the previous 100-days' price dynamics of both assets.
This coefficient may vary 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 currencies are going in the contrary trend while the positive coefficient tells that the prices are going in the same trend. For example, if Bitcoin and Heat Ledger connection is positively strong, it means that when BTC is rising HEAT will grow as well. The negative strong relation will indicate that when BTC is rising HEAT value will be in contrary decreasing.
The knowledge of the correlation coefficient helps to calculate in percentage the influence of Bitcoin over Heat Ledger. If we take all the things affecting the price of HEAT as 100%, then the share of BTC price among these factors will be 77.44%. The other part which is 22.56% covers all the other factors, such as media, events or regulations.