Exploring the Impact of Cryptocurrencies on Financial Markets: A Comparative Analysis
Keywords:
Cryptocurrencies, Financial marketsAbstract
Cryptocurrencies' impact on established financial institutions has grown in popularity and concern. The research analyses stock, foreign currency, and commodities markets in connection to cryptocurrencies. To represent worldwide influence, the study includes established and developing economies. The research process includes collecting and evaluating historical price data, trade volumes, market capitalization, and regulatory changes. Cryptocurrencies' impact on financial markets is assessed using market volatility, liquidity, and investor sentiment. Cryptocurrencies seem to have affected financial markets. Cryptocurrencies enhance market volatility, especially during moments of strong interest and speculation. Cryptocurrency prices have correlated with conventional financial assets, demonstrating interdependencies and spillover effects. The research also examines cryptocurrency regulation and how it affects market dynamics. Cryptocurrencies and financial markets are shaped by changing regulations. The study impacts policymakers, market actors, and investors. Understanding how cryptocurrencies affect financial markets may help establish regulatory frameworks and risk management methods. Diversified investors may learn about cryptocurrency dangers and possibilities.
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