Does Horse Power depend on Bitcoin? According to the correlation analysis, BTC and HSP have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was estimated based on the last 100-days' price movements of both cryptocurrencies.
This coefficient may change 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 cryptocurrencies are moving in the opposite trend while the positive coefficient indicates that the prices are going in the identical trend. For instance, if Bitcoin and Horse Power connection is positively strong, it means that when BTC is growing HSP will rise as well. The negative strong relation will tell that when BTC is rising HSP value will be in opposite decreasing.
The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over Horse Power. If we take all the aspects affecting the price of HSP 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 news, events or politics.