Does PayPie depend on Bitcoin? Based on the correlation analysis, BTC and PPP have a strong positive relationship. The correlation coefficient of their prices is 0.68, which was measured based on the previous 100-days' price dynamics of both cryptocurrencies.
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 shows that the prices of the coins are going in the contrary trend while the positive coefficient means that the prices are going in the identical trend. For instance, if Bitcoin and PayPie connection is positively strong, it means that when BTC is rising PPP will rise as well. The negative strong relation will indicate that when BTC is growing PPP price will be in opposite decreasing.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over PayPie. If we take all the factors affecting the price of PPP as 100%, then the share of BTC price among these factors will be 46.24%. The other part which is 53.76% covers all the other things, such as news, technological releases or crypto related laws.