Does Rate3 depend on Bitcoin? According to the correlation analysis, BTC and RTE have a strong positive relationship. The correlation coefficient of their prices is 0.62, which was computed based on the last 100-days' price fluctuations of both cryptocurrencies.
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 means that the prices of the assets are moving in the reversed trend while the positive coefficient indicates that the prices are moving in the identical trend. For example, if Bitcoin and Rate3 connection is positively strong, it means that when BTC is rising RTE will grow as well. The negative strong relation will tell that when BTC is rising RTE price will be in contrary decreasing.
The knowledge of the correlation coefficient helps to calculate in percentage the influence of Bitcoin over Rate3 . If we take all the things affecting the price of RTE as 100%, then the share of BTC price among these factors will be 38.44%. The other part which is 61.56% covers all the other circumstances, such as media, technological releases or crypto related laws.