Forest Hensley

Cryptocurrencies have become much more widely adopted since 2017, with the most recent announcement by Fidelity that Bitcoin will be offered for 401ks demonstrating its potential use for mainstream investment. Still, the speculative and volatile nature of the currencies as well as extensive industry promotion efforts have resulted in many small-scale retail traders entering the market, potentially with little to no experience in the field. This project examines factors affecting short term (1 day) returns in an effort to provide traders viable strategies for profiting from cryptocurrency. Bitcoin price data is from Yahoo Finance and represents >7 years of daily open, high, low, and close prices as well as volume. Factors analyzed include those affecting the supply of Bitcoin such as miner revenue, xxx, and xxx as well as those affecting demand such as momentum effects, public sentiment, and technical trading rules.