#UPgovt #Cryptocurrencies #Yogi

Cryptocurrencies – an emerging market



#Cryptocurrencies are becoming increasingly relevant in the financial world and can be considered as an emerging market. The high volatility of cryptocurrencies not only increases the risks of crypto trading but also makes it more profitable than any other form of investment. Machine learning has been successful in predicting stock market prices through a host of different time series models, its application in predicting cryptocurrency prices has been quite restrictive. The reason behind this is obvious as prices of cryptocurrencies depend on a lot of factors like technological progress, internal competition, pressure on the markets to deliver, economic problems, security issues, political factors etc. While there have been some previous studies, most of them have focused exclusively on the behaviour of Bitcoin. To calculate the patterns of the dynamically changing crypto market, it is necessary to process vast amounts of information, which artificial intelligence and machine learning systems can help with. There are several companies predicting how the coins are going to fluctuate with 80 to 90 percent accuracy.




The predictability of three major cryptocurrencies—bitcoin, ethereum, and litecoin—and the profitability of trading strategies devised upon machine learning techniques (e.g., linear models, random forests, and support vector machines). The models are validated in a period characterized by unprecedented turmoil and tested in a period of bear markets, allowing the assessment of whether the predictions are good, even when the market direction changes between the validation and test periods. Learning the crypto world comes from observing. Blockchain is the key technology behind bitcoin, which works as a public digital ledger, where transactions among users are recorded. Many hedge funds and asset managers began to include cryptocurrencie.