Does Linker Coin depend on Bitcoin? According to the correlation analysis, BTC and LNC* have a strong positive relationship. The correlation coefficient of their values is 0.53, which was calculated based on the previous 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 tells that the prices of the currencies are going in the reversed trend while the positive coefficient points that the prices are going in the same direction. For instance, if Bitcoin and Linker Coin connection is positively strong, it means that when BTC is growing LNC* will rise as well. The negative strong relation will indicate that when BTC is growing LNC* price will be in contrary lowering.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over Linker Coin. If we take all the factors affecting the price of LNC* as 100%, then the share of BTC price among these factors will be 28.09%. The other part which is 71.91% covers all the other aspects, such as media, events or politics.