Herding behaviour in cryptocurrencies

Bouri, Elie; Gupta, Rangan; Roubaud, David

doi:10.1016/j.frl.2018.07.008

Cited by 375 publications

(228 citation statements)

References 28 publications

(39 reference statements)

Supporting

Mentioning

177

Contrasting

Unclassified

Order By: Relevance

“…When we test this hypothesis using a predictive regression model accounting for heteroskedasticity, we find that our hypothesis is indeed validated by both in-sample and out-ofsample analyses. This finding can be explained by the fact most of investors in the Bitcoin market are individual and inexperienced investors (Bouri et al, 2019), who often make investment decisions based on the information-content of search engines (Kristoufek, 2013). Our results imply that using the intensity of individual searches on the internet of words aiming to measure uncertainty, investors should be able to design better hedging strategies associated with Bitcoin in their portfolios, compared to a metric of uncertainty based on newspaper articles.…”

Section: Resultsmentioning

confidence: 76%

Predicting Bitcoin returns: Comparing the roles of newspaper- and internet search-based measures of uncertainty

Bouri

Gupta

2021

Finance Research Letters

Self Cite

View full text Add to dashboard Cite

We compare the ability of two measures of uncertainty, a newspaper-based measure and an internet search-based measure, to predict Bitcoin returns. Using monthly data from July 2010 to May 2019 and a predictive regression model characterized by a heteroskedastic error structure and, we show that Bitcoin is a hedge against both measures. However, the predictive content of the internet-derived uncertainty related queries measure is statistically stronger than the measure of uncertainty based on newspapers for predicting Bitcoin returns, which is possibly due to the fact that the measure of uncertainty is now directly obtained from individual investors via internet searches.

show abstract

Section: Resultsmentioning

confidence: 76%

Predicting Bitcoin returns: Comparing the roles of newspaper- and internet search-based measures of uncertainty

Bouri

Gupta

2021

Finance Research Letters

Self Cite

View full text Add to dashboard Cite

show abstract

“…This may imply that there is no conspiracy in cryptocurrency trading. However, Bouri et al (2019) found that there are other ways around it because of the increased uncertainty. Antonakakis et al (2019) found that Bitcoin can influence the cryptocurrency market.…”

Section: Previous Research On Cryptocurrencymentioning

confidence: 99%

“…Other researchers found that there were no herding activities in cryptocurrency trading as a trader may have an individual motive for cryptocurrency trading (Stavros and Vassilios, 2019). Meanwhile, Bouri et al (2019) found a tendency of herding when uncertainty increased, which may cause cartel trading.…”

Section: Introductionmentioning

confidence: 97%

The requirements of cryptocurrency for money, an Islamic view

Siswantoro

Handika

Mita

2020

Heliyon

View full text Add to dashboard Cite

This research aims to evaluate the suitability of cryptocurrency as money from the Islamic perspective. Money, in the Islamic perspective, has specific characteristics and requirements, such as stability and is based on assets. Cryptocurrency may not fulfil this as it has queries as money from the Islamic perspective. The research method applied data of 23 cryptocurrency prices and related information. The result shows that cryptocurrency is hugely volatile and has limits to being called 'money,' as it is limited and used for speculation, which is prohibited in Islam. The research implies that Muslims would be reluctant to use cryptocurrency as money, as a currency of transaction. This reason raise an expectation that the cryptocurrency will not develop rapidly in Muslim countries.

show abstract

“…We were interested in the fact of how respondents perceive cryptocurrency: As money, as a new economic phenomenon (earning potential, improvement of economic status), or as a new technology. The choice of Bitcoin was explained by the fact that, compared with other types of cryptocurrency (more than 1900 types according to www.coinmarketcap.com), it prevails in the professional sphere, and specialists usually focus their attention on Bitcoin and less often on Ethereum and other types of cryptocurrency [13,33,34]. Bitcoin is the first and most famous cryptocurrency, with millions of transactions conducted.…”

Section: Representations Of Bitcoinmentioning

confidence: 99%

Social and Psychological Predictors of Youths’ Attitudes to Cryptocurrency

Гагарина

Нестик

Drobysheva

2019

Behavioral Sciences

View full text Add to dashboard Cite

The objectives of the study were to verify the “Attitudes Toward Cryptocurrencies Questionnaire” and to identify predictors of attitudes toward Bitcoin. Sample: 262 participants aged 17 to 30, of which 45% were male. Methods: Associations, “Value Scale”, “The Moral Foundations Questionnaire”, “Money Beliefs and Behaviors Scale” by A. Furnham, and “The Baseline Confidence Scale” by L. Haff. Confirmatory factor analysis proved the three-factor structure of the questionnaire. A linear regression analysis showed that beliefs in the potential of cryptocurrency as a payment instrument are directly related to people-centered care and value of freedom, and are inversely related to sanctity; they are associated positively with confidence in the financial system and negatively with confidence in the government. Age and gender also matter. Worries about the introduction of cryptocurrency are directly related to a negative attitude to money, the value of self-confidence, age, and confidence in the financial system and government, and are inversely related to trust in people and money anxiety. Willingness to use cryptocurrency in perspective directly depends on trust in the power of money, orientation towards independence in actions, age, and gender, and is inversely dependent on confidence in the government. The data state that the intention to use cryptocurrency is directly related to the desire for financial autonomy and distrust of social institutions.

show abstract

Herding behaviour in cryptocurrencies

Cited by 375 publications

References 28 publications

Predicting Bitcoin returns: Comparing the roles of newspaper- and internet search-based measures of uncertainty

Predicting Bitcoin returns: Comparing the roles of newspaper- and internet search-based measures of uncertainty

The requirements of cryptocurrency for money, an Islamic view

Social and Psychological Predictors of Youths’ Attitudes to Cryptocurrency

Contact Info

Product

Resources

About