Price explosiveness in cryptocurrencies and Elon Musk's tweets

【Author】 Shahzad, Syed Jawad Hussain; Anas, Muhammad; Bouri, Elie

【Source】FINANCE RESEARCH LETTERS

【影响因子】9.848

【Abstract】We detect episodes of price explosivity and collapse in Bitcoin and its contender Dogecoin using four-hourly data. The results show multiple bubble episodes in both cryptocurrencies, with a more frequent occurrence in Bitcoin. Collapse episodes are only observed in Bitcoin. We relate price explosivity to Elon Musk's tweets. His cryptocurrency-related general tweets have contributed to the price explosivity of Bitcoin, whereas his Dogecoin-specific tweets have contributed to price explosivity in Dogecoin. Our findings highlight the influential role of key persons through social media on the formation of bubbles, which matters to the decision-making of cryptotraders and market efficiency.

【Keywords】Bubbles; BSADF test; Bitcoin; Dogecoin; Twitter; COVID-19

【发表时间】2022 JUN

【收录时间】2022-07-17

【文献类型】实证性文章

【主题类别】

区块链治理-市场治理-数字货币