Subject. The article investigates the influence of various factors on the price of Bitcoin. Objectives. The purpose is to build an econometric model enabling to interpret the price of Bitcoin based on the influence of a range of economic, social, and technical factors. Methods. To achieve the purpose of the study, we built a multiple regression model, using the Stata software product. We tested the model in terms of linearity, multicollinearity, homoscedasticity, normality of the distribution of residues. Results. The econometric model helped recognize the following factors as statistically significant in relation to the price of Bitcoin: economic – the MSCI World index, which is in direct correlation with the price of Bitcoin, and the USD index, which is in inverse correlation; social – an assessment of the level of interest of the Google search network users in cryptocurrency for a week; technical – the number of coins in public circulation and the number of unique addresses of crypto wallets involved in transactions of the blockchain cryptocurrency network. Conclusions. The presented model confirms the hypothesis that the price of Bitcoin directly depends on news publications and the opinions of users of various social networks. This aspect makes it vulnerable to short-term fluctuations, speculation, and volatility.
Keywords: Bitcoin price, multiple regression analysis, socio-economic and technical factors
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