Does IDEX Membership depend on Bitcoin? Based on the correlation analysis, BTC and IDXM have a strong positive relationship. The correlation coefficient of their prices is 0.64, which was calculated based on the last 100-days' price fluctuations of both assets.
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 currencies are moving in the reversed trend while the positive coefficient points that the prices are going in the same direction. For example, if Bitcoin and IDEX Membership connection is positively strong, it means that when BTC is rising IDXM will rise as well. The negative strong relation will tell that when BTC is rising IDXM value will be in contrary decreasing.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over IDEX Membership. If we take all the circumstances affecting the price of IDXM as 100%, then the share of BTC price among these factors will be 40.96%. The other part which is 59.04% covers all the other things, such as media, events or politics.