Fear Sentiment, Uncertainty, and Bitcoin Price Dynamics: The Case of COVID-19

40Citations
Citations of this article
79Readers
Mendeley users who have this article in their library.

This artice is free to access.

Abstract

This paper studies the impact of fear sentiment caused by the coronavirus pandemic on Bitcoin price dynamics. We construct a new proxy for coronavirus fear sentiment using hourly Google search queries on coronavirus-related words. The results show that market volatility has been exacerbated by fear sentiment as the result of an increase in search interest in coronavirus. Moreover, we find that negative Bitcoin returns and high trading volume can be explained by fear sentiment regarding the coronavirus. Our results also show that Bitcoin fails to act as a safe haven during the pandemic.

Cite

CITATION STYLE

APA

Chen, C., Liu, L., & Zhao, N. (2020). Fear Sentiment, Uncertainty, and Bitcoin Price Dynamics: The Case of COVID-19. Emerging Markets Finance and Trade, 56(10), 2298–2309. https://doi.org/10.1080/1540496X.2020.1787150

Register to see more suggestions

Mendeley helps you to discover research relevant for your work.

Already have an account?

Save time finding and organizing research with Mendeley

Sign up for free