An Analysis of How Economic and Monetary Policy Uncertainty Affect the Cryptocurrency Market

Home Page
About
Submit A Journal
Submit A Conference
Submit Paper/Book
- Submit a Preprint
- Submit a Book
Contact

Sosyoekonomi
Cilt: 33 Sayı: 66
An Analysis of How Economic and Monetary Policy Uncertainty Affect the Cryptocurrency Market

An Analysis of How Economic and Monetary Policy Uncertainty Affect the Cryptocurrency Market

Authors : Gülden Kadooğlu Aydın, Rüya Kaplan Yıldırım, Turgay Münyas

Pages : 289-306

Doi:10.17233/sosyoekonomi.2025.04.13

View : 31 | Download : 73

Publication Date : 2025-10-21

Article Type : Research Paper

Abstract :This study examines how Economic Policy Uncertainty (EPU) and Monetary Policy Uncertainty (MPU) affect the returns of ten different cryptoassets using Quantile Regression (QR) and Robust Least Squares (RLS) methods. Quantile regression allows a nuanced examination of how these uncertainties affect returns at different levels under market conditions. Using monthly data from January 1, 2018, to June 1, 2024, the analysis shows that MPU has a negative impact on cryptoasset returns under normal and bull market conditions. However, this effect diminishes during bear market periods. Conversely, EPU has a significant negative impact only during bull markets. These results suggest that market conditions critically shape the sensitivity of cryptoassets to uncertainty, with such effects amplified during bull market periods.
Keywords : Para Politikası Belirsizliği, Ekonomi Politikası Belirsizliği, Kantil Regresyon, Kripto Para Birimleri

ORIGINAL ARTICLE URL

* There may have been changes in the journal, article,conference, book, preprint etc. informations. Therefore, it would be appropriate to follow the information on the official page of the source. The information here is shared for informational purposes. IAD is not responsible for incorrect or missing information.