Does KREDS depend on Bitcoin? According to the correlation analysis, BTC and KREDS 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 fluctuations of both assets.
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 reversed trend while the positive coefficient indicates that the prices are moving in the same direction. For instance, if Bitcoin and KREDS connection is positively strong, it means that when BTC is rising KREDS will grow as well. The negative strong relation will point that when BTC is rising KREDS value will be in contrary lowering.
The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over KREDS. If we take all the factors affecting the price of KREDS 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 crypto related laws.