Related Experiment Video
Updated: Nov 9, 2025

Measuring the Subjective Value of Risky and Ambiguous Options using Experimental Economics and Functional MRI Methods
Published on: September 19, 2012
Examining the Psychological State Analysis Relationship Between Bitcoin Prices and COVID-19
JianPing Hou1, Jingyi Liu1, YingJiang Jie1
1School of Economics and Management, Xi'an Technological University, Xi'an, China.
Abstract:
The rapid worldwide spread of COVID-19 forced many countries to enforce complete lockdown and strict quarantine policies. The strict lockdown and quarantine affect the psychological state of people toward cryptocurrency. The current research aims to examine the effect of COVID-19 on Bitcoin prices concerning cumulative deaths and confirmed cases. The research comprises daily data from January 20, 2020, to April 30, 2020, during the initial worldwide breakout of COVID-19. This research employed the augmented Dickey-Fuller test to check the stationarity of data, the co-integration test for the interdependency of variables, and the vector error correction model for identifying the direction and long or short-run relationship between Bitcoin prices and COVID-19. The research results show that Bitcoin prices are negatively significant and related to COVID-19 in the short-run. A unidirectional relationship between Bitcoin prices and cumulative deaths is also observed. Investors and the public's psychological state were positively significant to Bitcoin prices in the long-term because of cashless transactions, unbanked, and less risky virus traveling. The second reason behind the positive psychological relation is un-centralization and easy-to-make payments by Bitcoin. This study's finding provides timely evidence to decision-makers on Bitcoin price volatility and its impacts on the public's psychological states regarding COVID-19.
Related Concept Videos
Psychological Responses to Stress
Psychological and Sociocultural Causes of Schizophrenia
Social Relationships and Well-Being
Stress and Mental Health
Individuals with depression often experience challenges in both their personal and professional...
The Influence of Affect on Cognition
The Influence of Cognition on Affect

