2022
DOI: 10.3390/e24091317
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The Cryptocurrency Market in Transition before and after COVID-19: An Opportunity for Investors?

Abstract: We analyze the correlation between different assets in the cryptocurrency market throughout different phases, specifically bearish and bullish periods. Taking advantage of a fine-grained dataset comprising 34 historical cryptocurrency price time series collected tick-by-tick on the HitBTC exchange, we observe the changes in interactions among these cryptocurrencies from two aspects: time and level of granularity. Moreover, the investment decisions of investors during turbulent times caused by the COVID-19 pand… Show more

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Cited by 18 publications
(8 citation statements)
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“…Hence, by comparing this theoretical distribution with the empirical data, we can identify key eigenvalues containing specific information on the data. This characteristic of the RMT supports the need to clean the effect of noise and trend in the data [56,58].…”
Section: Random Matrix Theorysupporting
confidence: 54%
“…Hence, by comparing this theoretical distribution with the empirical data, we can identify key eigenvalues containing specific information on the data. This characteristic of the RMT supports the need to clean the effect of noise and trend in the data [56,58].…”
Section: Random Matrix Theorysupporting
confidence: 54%
“…This finding is interesting because we believe this is related to the unique characteristics of cryptocurrencies that the cryptocurrency market can be volatile with as much as 30 percent fluctuation in prices in a day and even a tweet from some influencer could swing the prices (Subburaj 2021 ), and the debate of whether cryptocurrencies should be treated as long-term or short-term investments heats among household investors; thus, the investment duration may be less important than households’ perception of cryptocurrency volatility in terms of risk assessment, which is supported by our findings as well. As to the evolvement of investment duration along the pandemic time horizon, a tick-by-tick dataset with 34 cryptocurrencies has been investigated by Nguyen et al ( 2022 ) between February 2019 and April 2021, and the Pearson linear similarity was measured and a minimum spanning tree (MST) was constructed to reveal that cryptocurrency investment duration has become more uncertain, and the time-varying structure does exist in the cryptocurrency investment interactions. Our finding further supports the study and suggests that the investment duration could be a less vital factor than the interaction between the investment amount and investment duration for the post-pandemic times.…”
Section: Discussionmentioning
confidence: 99%
“…Artificial Intelligence (AI) has not only gathered considerable attention in technologies but has also begun to infuse the daily lives of ordinary people. As AI applications increasingly find their way into various facets of society such as smart cities (Pham, Mai, and Massey 2016), education Bezbradica 2019, 2023) and finance (Nguyen et al 2022(Nguyen et al , 2023, the acquisition and utilisation of AI skills have emerged as critical factors in ensuring the safe and effective use of these technologies. This paradigm shift towards AI-driven solutions extends beyond individual interactions, as AI applications now play an integral role in delivering public services, democratic practices (Pham, O'Sullivan, and Mai 2023), commercial activities, and beyond, across Europe.…”
Section: Introductionmentioning
confidence: 99%