Cryptocurrencies and Blockchain Technology: Investigating the Relationship between Bitcoin and Financial Markets

ABSTRACT

The main purpose of this study is to investigate both causality relationship and cointegration relationship between bitcoin and capital markets during the Covid-19 period. To probe the issue a dataset based on a total of eight capital markets and the Bitcoin weekly prices utilized together. Based on Granger causality test, it is found that there is one-way causality relationship from BTC to BOVESPA and from SHANGHAI to BTC. Moreover, the ARDL bounds test shows that Bitcoin has no significant relationship with capital markets in the long run. © Peter Lang GmbH.