Does TomoChain depend on Bitcoin? Based on the correlation analysis, BTC and TOMO have a strong positive relationship. The correlation coefficient of their prices is 0.67, which was measured based on the previous 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 indicates that the prices of the coins are going in the contrary trend while the positive coefficient tells that the prices are moving in the same trend. For instance, if Bitcoin and TomoChain connection is positively strong, it means that when BTC is growing TOMO will rise as well. The negative strong relation will tell that when BTC is rising TOMO value will be in opposite decreasing.
The knowledge of the correlation coefficient helps to calculate in percentage the influence of Bitcoin over TomoChain. If we take all the factors affecting the price of TOMO as 100%, then the share of BTC price among these factors will be 44.89%. The other part which is 55.11% covers all the other aspects, such as media, events or crypto related laws.