Bitcoin And bitcoin SV Token (Btc vs Bsv)

The crypto space is filled up with news concerning the trend of bitcoin’s price. Its actually not going to look new again if you hear bitcoin has dropped to $10k after reaching $72k.

This had led to many questions been asked with some left unanswered. I shall attempt to answer the question if the price of bitcoin and bitcoin sv has some correlation in it.

In the course of this article, I will be making use of SPSS. Am sure you know what it means. Its called statistical package for the social sciences. Its one of the best app recommended for analysis of crypto currencies.

Objectives Of The Study In the course of this article, I shall tend to cover the following subtopics in this article

What is correlation? Categories of correlation. Importance of the analysis Data collection from coingecko.com of the price of bitcoin and bitcoin sv. Analysis and interpretation of data. Conclusion

What is correlation? Correlation is the test of analysis of relationship to prove if some variables are linked together in a process. If there are link together, it is essential to find out what is the direction of its linkage and the strength of relationship.

All shall be answered in this article. In this article, I shall tend to refer to bitcoin as btc and bitcoin sv as bsv. This model was invented by a statistician named Karl Pearson. He invented the correlation analysis theory.

Categories of correlation. Positive relationship An indication that there is a positive relationship between the price of btc and that of bsv means that as the price of bitcoin is in a bull, the price of bsv will likely be at same rate bull and vice versa. This type of relationship tends to +1 axis.

Negative relationship An indication that there is a negative relationship between the price of btc and that of bsv means that as the price of bitcoin is in a bull, the price of bsv will be at bearish state and vice versa. This type of relationship tends to -1 axis.

Zero relationship An indication that there is a zero relationship between the price of btc and that of bsv means that as the price of bitcoin pumps, it’s impossible to tell if the price of bsv will pump or dump. This type of relationship tends to 0 axis.

Summary for the model -1 --------------------0--------------------+1

For a positive relationship r = 1 or tends towards a positive 1 axis.

For a negative relationship r = -1 or tends towards a negative 1 axis.

For zero relationship r = 0 or tends towards the zero axis.

Importance of the analysis This test will examine if there is a relationship between price of btc and that of bsv.

It identifies what direction is the relationship.

It indicates the strength of relationship if it’s a weak one or a strong type . I shall attempt to collect data from coingecko.com as regards the price of bitcoin and that of bitcoin sv for the period of June 4 – June 30, 2022.

The price of bitcoin is the second variable and the price of bitcoin sv is the sixth variable in the variable view mode of SPSS software.

Taken With Desktop Computer

The prices are further entered in a data view mode of SPSS software.

Taken With Desktop Computer

I shall attempt to carry out the scattered diagram check. This will help to visualize the direction of relationship.

Taken With Desktop Computer

From the scatter dot diagram, we can see a negative type of relationship heading to the negative one axis.

To carryout correlation test, ensure the following.

Click on analyze. Select correlate. Click bi-variate. Enter the variables for which you tends to carry out the relationship. Result

Taken With Desktop Computer

The result of the analysis shows that the coefficient of correlation r= -0.310 meaning that it’s pointing to -1 axis. This indicates that as the price of bitcoin pumps, the price of bsv may likely experience a dump and vice versa. This type of relationship is a weak kind of relationship and its based on probability.

Minimum and Maximum price of both tokens for the period.

Taken With Desktop Computer

The minimum and maximum prices of both tokens are as seen below. Note This is the range of price for June4 – June 30, 2022.

Conclusion Bitcoin price is negatively related with bitcoin sv token with a weak kind of relationship. As the price of bitcoin pumps, that of bsv token may be dump. .