Does TeCoin depend on Bitcoin? According to the correlation analysis, BTC and TEC have a very strong positive relationship. The correlation coefficient of their prices is 0.91, which was calculated based on the last 100-days' price fluctuations of both currencies.
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 shows that the prices of the currencies are moving in the reversed direction while the positive coefficient means that the prices are going in the identical trend. For instance, if Bitcoin and TeCoin connection is positively strong, it means that when BTC is growing TEC will grow as well. The negative strong relation will tell that when BTC is growing TEC value will be in contrary lowering.
The knowledge of the correlation coefficient helps to estimate in percentage the influence of Bitcoin over TeCoin. If we take all the circumstances affecting the price of TEC 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.