Bitcoin Presentation: Trends, Relationships, and Market Analysis

This presentation offers a comprehensive analysis of Bitcoin, examining its various facets and market dynamics. It delves into the relationship between Bitcoin and the US Dollar, exploring how their values interact and influence each other. The study identifies and analyzes key market trends related to Bitcoin, including the increasing or decreasing number of mining firms and the overall adoption rate of the cryptocurrency. Furthermore, the presentation investigates the correlation between Bitcoin's price and the number of vendors accepting it, as well as the impact of inflation on its value. The research methodology involves an inductive approach, positivism philosophy, and the use of secondary data analyzed with SPSS. The findings reveal insights into the exchange rate between Bitcoin and USD, market fluctuations, and factors affecting Bitcoin's market position. This presentation provides valuable information for understanding Bitcoin's role in the financial landscape and its potential future trends.

A
PRESENTATION
ON BITCOIN

Research background
 Current research is carried out on Bitcoin and under this factors that affect Bitcoin and its relationship with USD is identified. Relationship of price
of Bitcoin with USD, number of vendors and inflation is also identified in the report. Apart from this different trends in respect to Bitcoin in the
market are also identified in research study.
 In past researches it is identified that technology is evolving at rapid pace across the globe. In past few years lots of work is done on development of
technology. Bitcoin is one of the electronic currency that is used at wide scale across the globe.
 Before going in to deep research on Bitcon it is necessary to develop broad understanding about same. Under this electronic mode of payment
online currency is issued that remain in our account. Online payments are made by the business firm and currency is not related to specific
government or central bank. Under electronic mode of payment that is done through Bitcoin there are some entities like miners (Simser, 2015).
 It is usually observed that miners verify the transactions that are covered in block and in return receive bitcoin’s and transaction fee which is their
income. This is the entire process that is going on while transaction happened through bitcoin. Like bank account each holder of bitcoin have some
unique number that is encrypted and linked to specific algorithm ( Reynolds and Angela, Irwin., 2017).

Problem statement
 Bitcoin is one of the most popular crypto currency in the world as its use is increasing at fast rate. Most of people does not
have strong knowledge of Bitcoin and due to this reason they think that it would not be better to make investment in
mentioned crypto currency and they avoid making payment or accepting payment in Bitcoin.
 There are number of things about Bitcoin that people does not know and due to this reason they avoid making use of
Bitcoin. This is the major problem that is associated with the Bitcoin and in response to this in the current research study
different aspects of crypto currency are analysed in the report.
 In this regard, relationship between price of Bitcoin and USD is measured and in this regard data is gathered and same is
analysed by using statistical tools.
 Rate at which transactions in Bitocoin increased are also analysed and conclusion is prepared. Interrelationship between
price of Bitcoin and inflation is also explored. In this way, different aspects of Bitcoin are measured and problem is
addressed.

Research question and objectives
 Objectives:
 To identify relationship between Bitcoin and USD.
 To identify number of crypto currency introduced.
 To identify trends in number of transaction of Bitcoin which will reflect number of mining firms increase or decrease across
the globe.
 To identify relationship between price of Bitcoin and number of vendors.
 To identify relationship between inflation and price of Bitcoin.
 3 Research questions
 What is the relationship between Bitcoin and USD?
 What is the rate at which ceypto currency are issued in the market?
 What are the trends in the market in respect to Bitcoin?
 What is the relationship between price of Bitcoin and number of vendors?

Significance of study
 There are lots of significance of the present research study because it cover varied aspects of the bitcoin. In the current research study, importance of
bitcoin will be discussed in detail. Different areas where bitcoin benefits the firm will be discussed in the firm.
 Thus, it can be said that scope of the present research study is very wide and lots of things can be done make use of bitcoin as mode of payment. It can be
said that there is huge significance of the present research study. In the current research study number of people and countries that are covered in the
report are discussed in detail.
 This will show the extent to which bitcoin is preferred by the people and the business firms. Bitoin is the one of the important currency that can be used by
the business firms in the circulation and to perform business transactions across the globe.
 Thus it is very important to identify that after having such a strong positive points what are the reasons due to which still at wide level bitcoin is not used
by the firms to accept and to make payment online at wide level.
 Thus, it can be said that scope of current research study is very wide. Governments also may keep an eye on usage of bitcoin and it may intended to
interfere in usage of bitcoin in the nation. In this regard government can prepare some of the important rules and regulations. In the current report, all
these things will be covered extensively.

Continue
 This research study will help readers in understanding the extent to which government intervene on use of bitcoin in the Malaysia by preparing
rules and regulations tightly. This reflect that there is significant importance of the present research study for the individuals. Inflation is the another
factor that indirectly affect the currency value. Increase or decrease in the currency value heavily affect the usage of specific currency in the nation
or across the globe.
 Present research study is focusing on identifying whether inflation rate have any impact on the bitcoin. This reflects that there is significance of the
present research study as it help one in understanding whether there is any impact of inflation on the bitcoin value and if there is any impact then to
what extent it lead to up and down in the bitcoin value. Finally, in the research study relationship will be identified between USD and bitcoin.
Usually, in case of paper currency each nation currency value is compared with USD and strength and weakness is identified and accordingly
payments are exchanged by the firm. In the present research study also same relationship will be identified between bitcoin and USD.
 It can be said that like issues are observed in pear currency same are evaluated in respect to electronic currency. This reflects that at vast
level relationship is identified among variables. Thus, scope of the present research study is very wide and lots of things are covered in the report
which reflects that at single place reader will become familiar with number of facts.

Structure of study
 Introduction: In order to prepare dissertation in systematic manner first of all introduction part is prepared and under this detail discussion is carried out on bitcoin
and its advantages as well as issues that can be associated with it (DeWaal and Dempsey, 2015). In this section of the report, rationale and significance of research
is discussed briefly. It can be said that there is huge significance of the present research study for researchers.
 Literature review: This is second part and one of the important section of the present research study. In this stage literature of different scholars are reviewed in
detail and positive and negative points that they speak in respect to research objectives are discussed in detail.
 Research methodology: It is another important segment of the current research study. Research methodology segment reflect the approach that is followed to
conduct the present research study. There are number of sub parts of the research methodology section which will cover research approach, research philosophy,
ethics and limitations of research. It can be said that there is huge significance of this part of research because it reflect whether research is carried out in legitimate
way by the researcher.
 Data analysis section: In this part of the research report data is analysed by using relevant tools like thematic analysis and SPSS. On the basis of analysis of results
it is identified that in what specific direction research variable move like customers are satisfied from the firm etc. In many researches on collected data SPSS is
also used for analysis purpose. It is the tool that reflect relationship among variables. It can be said that SPSS is the one of the most important tool that is used for
analysis purpose by the researchers.

Continue
 Conclusion and recommendation: Finally after preparation of data analysis section
conclusion and recommendation section is prepared in the report. Under this results
obtained on analysis are taken in to account in order to form conclusion and preparing
recommendation. It can be said that in this segment of the report overll conclusion of
research study is described in detail.


Literature review overview
 Number of mining firms are increasing which clearly means that there is high demand of Bitcoin in the market because people are prefering to make number of
transactions in to the mentioned currency. It can be said by considering current trends that in the upcoming time period demand of Bitcoin will increase at rapid
rate and due to this reason price of mentioned currency may increase at rapid rate. There are number of firms that do transition in their business and now are
preparing to become Bitcoin miners. Thus, current trends are clearly reflecting that miners are increasing and further their number will enhance.
 It is concluded that there is strong relationship between price of Bitcoin and number of vendors. With increase in number of vendors price of Bitcoin will
increase. This is because as number of firms will start accepting payment in form of Bitcoin more and more people will like to make use of Bitcoin and due to this
reason with passage of time value of mentioned currency will increase in the market. Thus, it can be said that price of Bitcoin and number of vendors are positively
correlated to each other. Moreover, if number of miners will increase in the market plunge will be observed in price of Bitcoin.
 Inflation is the one of the important concept that have due importance for economist and individual person that is working across low paid job. This is
because inflation reflect rate at which price of commodities are increasing in the market. Like inflation have impact on commodities currencies are also indirectly
affected by it in terms of value. With increase in inflation huge variation is observed in price of Bitcoin as this is proved from analysis of regression results. Thus, it
can be said that individuals must cautiously make purchase of Bitcoin.

Research methodology overview
 Inductive approach is selected and accordingly positivism philosophy is selected for
research. Secondary data is gathered and same is analyzed by using SPSS tool. Apart from
this, in order to conduct present research descriptive research design is selected.

To identify relationship between Bitcoin and USD
1 20 39 58 77 96 115134153172191210229248267286305324343362
0
500
1000
1500
2000
2500
3000
3500
4000
4500
Chart Title

Interpretation
 In order identify relationship between Bitcoin and USD descriptive statistics tools are used. It can be
seen from the chart that in past few years USD become stronger than Bitcoin (BTC USD historical data,
2017). Chart given above revealed that price of Bitcoin declined consistently relative to USD.
Descriptive statistics table that is given above revealed that minimum value of Bitcoin in USD is 571.54
and value of same increased to 4360.68.
 Thus, it can be observed that huge traction comes in the exchange rate and with passage of time Bitcoin
become weak relative to USD. This, may happened because Bitcoin can be converted in to USD. It is
possible that most of people after obtaining Bitcoin converted it in to domestic currency so that easily
trade can be done in items. This is the reason due to which value of USD become stronger than Bitcoin.
 Mean value of exchange rate is 1364.52 which means that on an average basis Bitcoin trade at value
nearby to USD in the relevant exchanges. Standard deviation value is 849.31 which is higher in number
and on this basis it can be said that currency exchange rate is fluctuating at fast rate. Trend is on
increase and on this basis it can be said that value of Bitcoin decline at sharp rate then USD in past
couple of years.

Continue
1 26 51 76 101126151176201226251276301326351
0
500
1000
1500
2000
2500
3000
3500
4000
4500
Market price
MA of market price
Chart Title
Market price MA of market price

Interpretation
 It can be seen from the chart that there is difference be in the market price of Bitcoin and
moving average of same. It can be observed that in starting time period almost there is
similarity in market price of Bitcoin and its moving average but on later stage it is seen
that market price is greater then moving average value. This reflects that from starting of
2017 market price become more then moving average value.
 Hence, it can be said that more than average rate Bitcoin become weaker then USD. Thus,
it can be said that it is best time for making investment in Bitcoin because by converting it
in to USD one can make higher number of purchase.
 It can be observed that in past few years demand of Bitcoin increased because it can be
converted in to USD and it became easy task for one to make purchase. Thus, it can be said
that overall statistics revealed that Bitcoin is weaker then USD.

To identify relationship between price of Bitcoin and number
of vendors
Model Summaryb
Mode
l
R R
Square
Adjusted R
Square
Std. Error
of the
Estimate
1 .588a .346 .314 497.76675
a. Predictors: (Constant), Numberoftransaction
b. Dependent Variable: Priceofbitcoin ANOVAa
Model Sum of
Squares
df Mean Square F Sig.
1
Regression 2747978.044 1 2747978.044 11.091 .003b
Residual 5203206.397 21 247771.733
Total 7951184.440 22
a. Dependent Variable: Priceofbitcoin
b. Predictors: (Constant), Numberoftransaction

Interpretation
 In order to identify relationship between number of transactions of Bitcoin and its price regression analysis tool is used.
It must be noted that in order to represent number of vendors variable number of transaction is taken in to account. In
case number of vendors will increase transactions will suerly increased and due to this reason in order to represent
number of vendors variable number of transactions is taken in to account.
 It can be seen form the regression table that value of multiple R is 0.588 and same of multiple R square is 0.346. R
square is the one of the important statistics of regression which reflect percentage change that comes in dependent
variable due to change in independent variable. It can be said that with change in number of vendors price of Bitcoin
may change by 34%. Value of R square is 0.58 which reflect relationship among variables.
 Value of correlation is moderate and it can be said that with change in number of transactions or vendors price of
Bitcoin change at moderate rate. Value of level of significance is 0.03<0.05 and this reflects that with change in number
of transactions or vendors huge variation comes in the price of mentioned crypto currency. This means that alternative
hypothesis is accepted.
 On analysis of table of descriptive statistics it can be seen that number of transactions of Bitcoin are changing at fast
pace then price of bitcoin. Value of standard deviation may be high in case of number of transaction because its value is
higher then other numbers. Correlation value is 0.588 is moderate and it can be said that number of transactions and
price of Bitcoin are interrelated to each other.

Identifying number of crypto currencies
introduced
Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
Numberofcryptocurrencyint
roduced 6 1.00 8.00 3.3333 2.58199
Valid N (listwise) 6

Interpretation
 Table given above is revealing that number of crypto currency introduced on average basis
so 3.33 which means that in most of years on average basis three currencies are launched.
Standard deviation value is only 2.58 which means at low rate number of crypto currency
introduced in the market. Minimum number of crypto currency introduced is 1 and
maximum number of electronic currencies comes in market is 8. It can be said that in past
few years many crypto currencies are introduced in the market.

Number of crypto currencies introduced
Years
Number of
crypto
currency
introduced
2012 1
2013 3
2014 8
2015 4
2016 1
2017 3

Interpretation
 It can be observed that higher number of electronic currency was introduced in year 2014
followed by 4 electronic currency was introduced in year 2015. In year 2013 and 2017
three electronic currencies were launched. Hence, in can be said that on yearly basis most
of times at least 3 new electronic currencies are introduced. It can be said that it is possible
that in upcoming time period also number of these currencies will increase in market.

To identify relationship between inflation and
price of Bitcoin
Model Summary
Model R R Square Adjusted R Square Std. Error of the
Estimate
1 .730a .533 .510 420.61186
a. Predictors: (Constant), Inflationrate
ANOVAa
Model Sum of Squares df Mean Square F Sig.
1
Regression 4235983.361 1 4235983.361 23.944 .000b
Residual 3715201.079 21 176914.337
Total 7951184.440 22
a. Dependent Variable: Priceofbitcoin
b. Predictors: (Constant), Inflationrate

Interpretation
 Results are reflecting that mean value of the price of Bitcoin is 794.30 and standard deviation is 601.18. In same way mean and
standard deviation of inflation rate is 1.23 and 0.80269. It can be observed that inflation rate deviate at low rate as it is verified from
low value of standard deviation.
 Mean value of inflation rate is 1.23 which means that inflation rate is very low in USA. Mean value of variable price of Bitcoin is
794.30 and this means that on average basis Bitcoin trade at mentioned price. Correlation value in case of price of Bitcoin and inflation
rate is 0.730 and this reflect that there is high degree of relationship between both variables. This fact is further verified from the value
of level of significance is 0.00<0.05 and this means that there is significant relationship among both variables.
 In regression model it can be observed that value of R is 0.730 which means that both variables are highly correlated to each other.
This means that with change in inflation rate huge variation will come in price of Bitcoin. Value of R square is 0.533 and this reflects
that with change in change comes in inflation rate 53% variation comes in the inflation rate. Adjusted R square value is 0.510 which
means that if any variable will be added in the model then in that case price of Bitcoin may change by 51%. Value of level of
significance is 0.00<0.05 and this means that there is significant mean difference between both variables.
 Means that with small rate of change in inflation rate big percent changes comes in the price of Bitcoin. From coefficient table it can be
observed that beta value is 546 which means that with small increase in inflation rate price of bitcoin change by 546 points. It can be
said that huge variation comes in Bitcoin price with change in inflation rate. There is significant mean difference between both
variables and due to this reason alternative hypothesis is accepted.


Price of Bitcoin and other independent variables
Model Summary
Model R R Square Adjusted R Square Std. Error of the
Estimate
1 .886a .784 .750 300.45814
a. Predictors: (Constant), ValueofBitcoininUSD, Transactionofbitcoin,
Inflationrate
ANOVAa
Model Sum of
Squares
df Mean
Square
F Sig.
1
Regression 6235957.625 3 2078652.54
2 23.026 .000b
Residual 1715226.815 19 90275.096
Total 7951184.440 22
a. Dependent Variable: Priceofbitcoin
b. Predictors: (Constant), ValueofBitcoininUSD, Transactionofbitcoin, Inflationrate

Interpretation
 Value of level of significance is 0.00 which means that there is significant mean difference
between dependent and independent variables. Due to change in inflation rate and Bitcoin
value in USD 24 and 25 points change comes in Bitcoin price that is in market. Value of R
is 0.88 which reflect that there is high degree of relationship between dependent and
independent variables. Alternative hypothesis accepted because level of significance is
0.00<0.05.

CONCLUSION
 On the basis of above discussion it is concluded that Bitcoin is the one of the most important crypto currency that is available in the market. Currencies can be classified in to two parts
crypto currency and paper based currency.
 It must be noted that paper based currencies are those that are authorized by nation government for use and making purchase as well as sell. Crypto currency are those that are not
issued by any country government and can be used worldwide. However, their use and acceptability depend on extent to which they are accepted by any nation government as payment
making mechanism.
 It can be said that there is huge importance of Bitcoin for the people as it is alternative currency that can be used to make payment across the globe. In past few years demand of
Bitcoin increased at rapid pace and there are number of reasons behind this situation. Increase in people purchasing power due to use Bitcoin is one of them.
 Apart from this, global acceptance of currency is the another reason that is responsible for increase in use of crypto currency across the globe. It is concluded that there is close
relationship between Bitcoin and USD. This is because both currencies operate at international level and used by people to make payments. It is observed that with increase in value of
USD value of Bitcoin declined .
 On analysis of data of past couple of years it is identified that with USD become more stronger then Bitcoin. More USD become stronger Bitcoin value reduced. This reflects that there
is relationship between American and mentioned crypto currency.
 As per current trends conversion rate of units of Bitcoin increased in American dollar and on this basis it can be said that latter currency become more stronger then crypto currency.

Continue
 Lots of new trends emerged in respect to crypto currency across the globe and consistent number new of currencies introduced across the globe. It can be said that there is demand of
crypto currency in the market and due to this reason more and more new currencies are coming the market.
 It is concluded that in 2014 large number of electronic currencies like Bitcoin were introduced in the market. It can be observed that there were 12 currencies that were alone introduced
in the mentioned year which is 2014.
 Apart from this, in year 2015 four currencies were newly launched in the market. Hence, it can be said that with passage of time period popularity of crypto currency increase among
the people. In upcoming time period also number of crypto currencies introduced in the market can be increased at rapid pace as currencies like Bitcoin are used at large scale for
making and receiving payments.
 With increase in demand of crypto currencies many new will be introduced in the market. Hence, it can be said that in the upcoming time period many more currencies can be seemed
to come in market.
 Number of mining firms are increasing which clearly means that there is high demand of Bitcoin in the market because people are preferring to make number of transactions
in to the mentioned currency. It can be said by considering current trends that in the upcoming time period demand of Bitcoin will increase at rapid rate and due to this reason price of
mentioned currency may increase at rapid rate.
 There are number of firms that do transition in their business and now are preparing to become Bitcoin miners. Thus, current trends are clearly reflecting that miners are increasing and
further their number will enhance.

THANK YOU