Bitcoin financial bubbles: digitalization and modeling

Abstract

The subject of scientific research is economic relations arising in the process of establishing the value of Bitcoin in the financial market. The hypothesis that the Bitcoin market is really subject to the formation of financial bubbles, and that the most significant of them was observed in 2017. The phenomenon of cryptocurrency has arisen quite recently and, therefore, at present there are very few empirical and theoretical studies related to this problem. It should be noted that the interest of the scientific community in digital money is growing every year. The digitization of the financial segment is a priority in the framework of Russia's economic growth. As part of the research, the Bitcoin market was analyzed. Several financial bubbles have been identified, and an econometric model of the behavior of the Bitcoin value in the digital virtual instruments market has also been compiled. The relevance and debatable nature of the theoretical and methodological foundations of cryptocurrency in different markets, the high practical significance of digital money in the modern economic system predetermined the goal and objectives, determined the choice of the object of study. Purpose of the study: bitcoin cost behavior modeling in the digital finance market based on time series. The methodological basis of the present study includes the methods of system-structural, functional, factor and comparative analysis with the construction of analytical models based on the synthesis of modern scientific methods of knowledge of economic and social phenomena. The methodological tools of scientific research are graphic, analytical, statistical and economic-mathematical methods of information processing.