Bitcoin Sentiment Analysis and Market Predictions

Saturday. March 06, 2021 - 1 min

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Bitcoin Sentiment Analysis and Market Predictions

Ponzi scheme? The currency of the future? A hedge against the stock market? After a decade since the first decentralized digital currency, Bitcoin, began circulating, defining what cryptocurrencies are is still debatable. What can no longer be debated is their impact on all markets today. With the current global cryptocurrency market capitalization being approximately $1.45 trillion, multinational corporations (Tesla, MicroStrategy, Mass Mutual, Square) and hedge funds dominate the surge. These internet coins are no longer a novelty and thus should be reviewed in the same manner as one would view Amazon's stock or the US Dollar. As with those assets, determining the value and knowing when to buy or sell is extremely important. Traders have utilized statistics and machine learning to determine optimizations, so incorporating those systems to process cryptocurrencies is necessary. This project looks to review Twitter data to assess whether sentiment analysis can illustrate a correlation in crypto market swings caused by influencers. Second, analyzing historical information, in conjunction with the Twitter data if necessary, the effectiveness of predictive models optimizing one's gains and minizine losses will be reviewed.

GitHub repository can be found here: GitHub
The final report can be found here: Final Report
Presentation can be found here: Presentation