The Emergence of Cryptocurrency Market and Investors Sentiment

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Deabas, Muhammad

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2024-08-01

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Peer-reviewed

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We extend our understanding on the emergence of cryptocurrency markets through analyzing the impact of regulating the cryptocurrencies on their investors’ sentiments. Using Twitter data, our analysis shows that standardizing the Ethereum shapes the investors’ sentiments and, hence, positively influences their investment legitimacy compared to other cryptocurrencies, such as Bitcoin. Thus, standardizing and regulating the cryptocurrency mitigates the valuation anarchies of cryptocurrencies and contributes to the investment legitimacy in such emerging assets.

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