Behavioural Finance and Cryptocurrencies

Abstract

The present study sets out to examine the empirical literature on the behavioural aspects of cryptocurrencies, showing the findings of related studies and discussing the various results. A systematic literature review of cryptocurrencies in behavioural finance seems to be timely and particularly important in terms of providing a guide for future research. Key topics include an extent review on the issue of herding behaviour among cryptocurrencies, momentum effects and overreaction, contagion effect, sentiment and uncertainty, along with studies related to investment decision making, optimism bias, disposition, lottery and size effects.

Keywords: Behavioural Finance, Bitcoin, Cryptocurrencies, Herding, Momentum, Sentiment

JEL Classification: G4, G1