Evaluation of Cryptocurrency Investment Alternatives with the Entropy-ARAS Approach

Fatih Ecer

Makale detayları

Evaluation of Cryptocurrency Investment Alternatives with the Entropy-ARAS Approach

Yazarlar:

Fatih Ecer

Yayıncı:

Süleyman Demirel University

Ana Başlıklar:

Finans

Dergi:

Süleyman Demirel Üniversitesi Vizyoner Dergisi Vol.14 Issue 37, pp.314-333

Belge Tipi:

Makale

Yayın Tarihi:

2/2023

Belge Dili:

Türkçe

Document ID (Org No.):

2001284155

pISSN:

1308-9552

Anahtar kelimeler:

Özet:

 Cryptocurrencies, which entered the market in 2009, are virtual currencies that perform the exchange function in a decentralized structure. The characteristics of cryptocurrencies include that they are subject to commercial transactions depending on blockchain technology, and they perform fast transactions with low transfer costs. Cryptocurrencies have attracted great interest in recent years as an investment tool. The primary purpose of the study is to provide a decision support mechanism that will facilitate investors investment decisions. For this purpose, using the Entropi-ARAS multi-criteria model, the top ten cryptocurrencies traded in the financial markets are evaluated. Firstly, to determine the weights of the annual average return, trading volume, total market value, number of exchanges traded, number of years traded, transaction speed, change from the highest value, and volatility criteria the Entropy method is utilized in the study. Then, using the ARAS method, the performance ranking of crypto money alternatives is generated. According to the findings of the study, transaction volume is the most crucial factor to be considered when investing. In addition, among alternative cryptocurrencies, Bitcoin, Tether, and Usd Coin are in the top three, while Dogecoin is in the last place. It is also concluded that the trading volume of cryptocurrencies and their performance rankings have a highly positive correlation. Finally, the robustness and validity of the proposed model are also checked by sensitivity analysis.

 Cryptocurrencies, which entered the market in 2009, are virtual currencies that perform the exchange function in a decentralized structure. The characteristics of cryptocurrencies include that they are subject to commercial transactions depending on blockchain technology, and they perform fast transactions with low transfer costs. Cryptocurrencies have attracted great interest in recent years as an investment tool. The primary purpose of the study is to provide a decision support mechanism that will facilitate investors investment decisions. For this purpose, using the Entropi-ARAS multi-criteria model, the top ten cryptocurrencies traded in the financial markets are evaluated. Firstly, to determine the weights of the annual average return, trading volume, total market value, number of exchanges traded, number of years traded, transaction speed, change from the highest value, and volatility criteria the Entropy method is utilized in the study. Then, using the ARAS method, the performance ranking of crypto money alternatives is generated. According to the findings of the study, transaction volume is the most crucial factor to be considered when investing. In addition, among alternative cryptocurrencies, Bitcoin, Tether, and Usd Coin are in the top three, while Dogecoin is in the last place. It is also concluded that the trading volume of cryptocurrencies and their performance rankings have a highly positive correlation. Finally, the robustness and validity of the proposed model are also checked by sensitivity analysis.

 Cryptocurrencies, which entered the market in 2009, are virtual currencies that perform the exchange function in a decentralized structure. The characteristics of cryptocurrencies include that they are subject to commercial transactions depending on blockchain technology, and they perform fast transactions with low transfer costs. Cryptocurrencies have attracted great interest in recent years as an investment tool. The primary purpose of the study is to provide a decision support mechanism that will facilitate investors investment decisions. For this purpose, using the Entropi-ARAS multi-criteria model, the top ten cryptocurrencies traded in the financial markets are evaluated. Firstly, to determine the weights of the annual average return, trading volume, total market value, number of exchanges traded, number of years traded, transaction speed, change from the highest value, and volatility criteria the Entropy method is utilized in the study. Then, using the ARAS method, the performance ranking of crypto money alternatives is generated. According to the findings of the study, transaction volume is the most crucial factor to be considered when investing. In addition, among alternative cryptocurrencies, Bitcoin, Tether, and Usd Coin are in the top three, while Dogecoin is in the last place. It is also concluded that the trading volume of cryptocurrencies and their performance rankings have a highly positive correlation. Finally, the robustness and validity of the proposed model are also checked by sensitivity analysis.

 Cryptocurrencies, which entered the market in 2009, are virtual currencies that perform the exchange function in a decentralized structure. The characteristics of cryptocurrencies include that they are subject to commercial transactions depending on blockchain technology, and they perform fast transactions with low transfer costs. Cryptocurrencies have attracted great interest in recent years as an investment tool. The primary purpose of the study is to provide a decision support mechanism that will facilitate investors investment decisions. For this purpose, using the Entropi-ARAS multi-criteria model, the top ten cryptocurrencies traded in the financial markets are evaluated. Firstly, to determine the weights of the annual average return, trading volume, total market value, number of exchanges traded, number of years traded, transaction speed, change from the highest value, and volatility criteria the Entropy method is utilized in the study. Then, using the ARAS method, the performance ranking of crypto money alternatives is generated. According to the findings of the study, transaction volume is the most crucial factor to be considered when investing. In addition, among alternative cryptocurrencies, Bitcoin, Tether, and Usd Coin are in the top three, while Dogecoin is in the last place. It is also concluded that the trading volume of cryptocurrencies and their performance rankings have a highly positive correlation. Finally, the robustness and validity of the proposed model are also checked by sensitivity analysis.

Makale detayları

Evaluation of Cryptocurrency Investment Alternatives with the Entropy-ARAS Approach

Yazarlar:

Fatih Ecer

Yayıncı:

Süleyman Demirel University

Ana Başlıklar:

Finans

Dergi:

Süleyman Demirel Üniversitesi Vizyoner Dergisi Vol.14 Issue 37, pp.314-333

Belge Tipi:

Makale

Yayın Tarihi:

2/2023

Belge Dili:

Türkçe

Document ID (Org No.):

2001284155

pISSN:

1308-9552

Cryptocurrency

Cryptocurrency Selection

MCDM

Entropy

Kripto Para

Kripto Para seçimi

ÇKKV

Entropi

ARAS

Sayı

Makale detayları

Yazarlar: Fatih Ecer

Yayıncı: Süleyman Demirel University

Ana Başlıklar: Finans

Dergi: Süleyman Demirel Üniversitesi Vizyoner Dergisi Vol.14 Issue 37, pp.314-333

Belge Tipi: Makale

Yayın Tarihi: 2/2023

Belge Dili: Türkçe

Document ID (Org No.): 2001284155

pISSN: 1308-9552

Sayı

Yazarlar:

Fatih Ecer

Yayıncı:

Süleyman Demirel University

Ana Başlıklar:

Finans

Dergi:

Süleyman Demirel Üniversitesi Vizyoner Dergisi Vol.14 Issue 37, pp.314-333

Belge Tipi:

Makale

Yayın Tarihi:

2/2023

Belge Dili:

Türkçe

Document ID (Org No.):

2001284155

pISSN:

1308-9552