Small price bias in the cryptocurrency market. A cognitive bias revealed by emotions on social networks Academic Article in Scopus uri icon

abstract

  • Cognitive biases influence cryptocurrency market outcomes. Of relevance for this work, investors react variably to low-priced cryptocurrencies, evident in market outcomes like volatility. We investigate whether low prices also drive emotional responses on Twitter. Results show emotions align with price levels, with stronger reactions to lower prices. We conclude that small prices affect investor emotions. © 2024 Elsevier Inc.

publication date

  • November 1, 2024