Bitcoin -Risk & Returns Using Linear Regression

Abstract

In this paper, the risk and returns analysis of bitcoin is analysed using the linear regression model. Bitcoins are the digital currencies that operate and rely on peer-to-peer software and cryptography. Here, the Capital Asset Pricing Model is used, and an analysis is conducted based on bitcoin trading volume and adjacent closing with S&P. The bitcoin trading volume helps to understand the number of coins being bought and sold on specific exchange rates. The major aim is to understand the percentage of the risk and its expected returns for bitcoins. The result of these findings can highly be useful for using bitcoins and for various investment strategies.

Cite as:

Bhavana Rajan Menon. (2024). Bitcoin -Risk & Returns Using Linear Regression. Journal of Applied Mathematics and Statistical Analysis, 5(2), 24–32. 

https://doi.org/10.5281/zenodo.11209429