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Time of birth and Houses
When calculating a horoscope, the positions of the planets in the zodiac are determined. The position of the planets in relation to each other changes only slightly or not at all over the day, so that the exact time would not matter so much if the moon would be excluded. The moon, which runs relatively fast through a horoscope compared to the other planets, would be the only critical component.
But in a horoscope it depends very much on the position of the planets in the 12 houses. The first house always begins with the ascendant and corresponds to the position of the birth time in the chart. The Ascendant changes on average every 2 hours related to the sign of the zodiac in which it lies. This results in very different interpretations for a horoscope at a different time of birth.
Let's take an example. You are born at a time when the ascendant is exactly or a little bit asterisked. But if you were born 5 minutes earlier than stated in the birth certificate, then you have no Aries Ascendant but a Pisces Ascendant and thus completely different traits.