Bitcoin and SONM Correlation

Does SONM depend on Bitcoin? Based on the correlation analysis, BTC and SNM have a strong negative relationship. The correlation coefficient of their prices is -0.41, which was measured based on the last 100-days' price dynamics of both assets.

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 means that the prices of the coins are moving in the contrary trend while the positive coefficient points that the prices are moving in the same direction. For instance, if Bitcoin and SONM connection is positively strong, it means that when BTC is growing SNM will rise as well. The negative strong relation will indicate that when BTC is growing SNM value will be in opposite lowering.

The knowledge of the correlation coefficient helps to compute in percentage the influence of Bitcoin over SONM. If we take all the factors affecting the price of SNM as 100%, then the share of BTC price among these factors will be 16.81%. The other part which is 83.19% covers all the other circumstances, such as media, technological releases or politics.