Does SolarCoin depend on Bitcoin? Based on the correlation analysis, BTC and SLR have a strong positive relationship. The correlation coefficient of their values is 0.66, which was measured based on the last 100-days' price movements of both currencies.
This coefficient may adjust 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 coins are moving in the opposite direction while the positive coefficient tells that the prices are going in the identical direction. For example, if Bitcoin and SolarCoin connection is positively strong, it means that when BTC is rising SLR will grow as well. The negative strong relation will tell that when BTC is growing SLR value will be in opposite lowering.
The knowledge of the correlation coefficient helps to determine in percentage the influence of Bitcoin over SolarCoin. If we take all the aspects affecting the price of SLR as 100%, then the share of BTC price among these factors will be 43.56%. The other part which is 56.44% covers all the other aspects, such as news, events or crypto related laws.