Does Pillar depend on Bitcoin? According to the correlation analysis, BTC and PLR have a strong positive relationship. The correlation coefficient of their prices is 0.43, which was estimated based on the last 100-days' price movements 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 cryptocurrencies are moving in the opposite trend while the positive coefficient means that the prices are moving in the identical trend. For example, if Bitcoin and Pillar connection is positively strong, it means that when BTC is growing PLR will grow as well. The negative strong relation will point that when BTC is rising PLR price will be in contrary lowering.
The knowledge of the correlation coefficient helps to figure out in percentage the influence of Bitcoin over Pillar. If we take all the circumstances affecting the price of PLR as 100%, then the share of BTC price among these factors will be 18.49%. The other part which is 81.51% covers all the other things, such as media, technological releases or politics.