This study aims to identify the main drivers of Bitcoin volatility. The empirical analysis is based on a dynamic Bayesian model averaging approach for twenty-two potential determinants. The results reveal that the most important factors for Bitcoin volatility are Google trends, total circulation of Bitcoins, US consumer confidence and the S&P500 index.
No takes yet. Share an insight, caveat, or question.
Bakas et al. (2022) studied this question.
Synapse has enriched one closely related paper. Consider it for comparative context: