Understanding the Relationship of Crypto currency Price Change and Media Influence: Bitcoin Case Analysis

The purpose of this study is to understand the relationship between media and cryptocurrency price change. As an application example to prove this, bitcoin which is one of cryptocurrency is analyzed. On the analysis of Korea portal news from 2013 to 2017, it can be seen that there is a positive correlation between the number of Bitcoin times was mentioned in the news and the Bitcoin price change. This shows that the Bitcoin price change is closely affected to the information provided by the media. Also, during this period, the public perception of Bitcoin in Korea showed an improving trend of the Bitcoin as the number of positive reference to the affirmative increased, rather than negative. This study confirms the objective evidence that media and public perception provide a direct influence on cryptocurrency price change. The limitation of this study is that only the media information provided by the Naver (Korea portal) is used. And it is discussed only in terms of the effect of media and the change of public perception among various factors of cryptocurrency price fluctuation. Therefore, future research is needed to analyze various factors of cryptocurrency price fluctuation.