What does correlation mean in Crypto?

Before Palmer even responded, Markus built Dogecoin in three hours by forking Lucky Coin, which is a fork of Bitcoin in its own right . Essentially, Markus created Dogecoin by copying core chunks of Bitcoin, Litecoin, and Lucky Coin’s source code and changing it up a bit, before setting the project live.

Litecoin, Ethereum, and Ripple all showed signs of extremely strong correlation with Bitcoin prices between 2016 and 2018.

Positive correlation is when two assets move up or down in price together, while negative correlation implies inverse movement . Cycling through assets based on their coefficients helps investors to balance their portfolios and try to maintain growth through economic cycles.

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