Does IncaKoin depend on Bitcoin? According to the correlation analysis, BTC and NKA have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was calculated based on the last 100-days' price fluctuations 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 means that the prices of the currencies are moving in the reversed trend while the positive coefficient means that the prices are going in the identical direction. For instance, if Bitcoin and IncaKoin connection is positively strong, it means that when BTC is growing NKA will grow as well. The negative strong relation will show that when BTC is rising NKA price will be in contrary decreasing.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over IncaKoin. If we take all the factors affecting the price of NKA 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.