Does KiloCoin depend on Bitcoin? According to the correlation analysis, BTC and KLC have a very strong positive relationship. The correlation coefficient of their values is 0.91, which was calculated based on the last 100-days' price movements of both currencies.
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 indicates that the prices of the currencies are moving in the opposite direction while the positive coefficient points that the prices are going in the identical trend. For example, if Bitcoin and KiloCoin connection is positively strong, it means that when BTC is rising KLC will rise as well. The negative strong relation will indicate that when BTC is rising KLC price will be in contrary decreasing.
The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over KiloCoin. If we take all the factors affecting the price of KLC 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 circumstances, such as news, technological releases or crypto related laws.