With the value of ADA being an important incentive to participate in the blockchain, and a stable value being an important indicator for the health of the Cardano ecosystem, how can the 1:1 mirrored short term price movements with BTC be explained?
Bitcoin is a proof of work blockchain that one may expect to lose in value with less climate-impacting proof of stake blockchains like ADA gaining popularity. Without an obvious connection between these two, many people could draw false conclusions from price developments observed in ADA (or other coins, for that matter)
While differences in individual market development can be observed in longer time-frames (which are NOT topic of this question), there seem to be correlations between the price development of BTC and the price development of ADA.
How can this be explained?