Crypto currency: An Emerging Blockchain Technology in Finance and its Day of the Week Effect

Abstract

Cryptocurrency is a virtual coin or currency, which is secured by the cryptographic algorithms. They are decentralized networks with blockchain technology and are not issued by any central body, thus making them resistant to government manipulation or intervention. The growth of the cryptocurrency is increasing rapidly for the past few years and this study will help the investors to take correct decision while trading. The Efficient Market Hypothesis states that, the share price will reflect all the information about the shares. Thus, the share price of cryptocurrencies is expected to reflect the calendar anomaly, the day of the week effect. This study aims to examine the day of the week effect for the top 15 cryptocurrencies (coinmarketcap.com) and Dummy variable regression is used in thus study. The study is expected to provide evidence for the presence of Monday effect, Holiday effect and Weekday effect in the cryptocurrencies under study.