Does SolarFarm depend on Bitcoin? According to the correlation analysis, BTC and CELL have a very strong positive relationship. The correlation coefficient of their values is 0.91, which was computed based on the previous 100-days' price dynamics 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 points that the prices of the assets are going in the contrary trend while the positive coefficient indicates that the prices are going in the identical direction. For example, if Bitcoin and SolarFarm connection is positively strong, it means that when BTC is growing CELL will grow as well. The negative strong relation will point that when BTC is growing CELL value will be in opposite lowering.
The knowledge of the correlation coefficient helps to compute in percentage the influence of Bitcoin over SolarFarm. If we take all the factors affecting the price of CELL as 100%, then the share of BTC price among these factors will be 82.81%. The other part which is 17.19% covers all the other factors, such as media, events or regulations.