Summary:
We apply the (Phillips et al., 2015a,b) methodology to date-stamp bubbles in the Ethereum blockchain. Our analysis of the drivers of fundamental value suggests that the explosive behavior documented in ether prices does not constitute speculative bubbles but reflects the abrupt rally of demand for the use of the Ethereum Virtual Machine tied to the development of the decentralized application (dApp) ecosystem.
Keywords: Cryptocurrency; Bubble; Ethereum; Explosiveness; Fundamentals
JCR Impact Factor and WoS quartile: 10,400 - Q1 (2022); 7,400 - Q1 (2023)
DOI reference:
https://doi.org/10.1016/j.frl.2021.102387
Published on paper: May 2022.
Published on-line: August 2021.
Citation:
C. Bellón, I. Figuerola-Ferretti Garrigues, Bubbles in ethereum. Finance Research Letters. Vol. 46, nº. Part B, pp. 102387-1 - 102387-6, May 2022. [Online: August 2021]
