• Asia-Pacific Journal of Business
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• v.14 no.4
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• pp.37-48
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• 2023

Purpose - This study aims to explore the influence of emotional discrepancies among investors on the cryptocurrency market. It focuses on how varying emotions affect market dynamics such as volatility and trading volume in the context of Bitcoin trading. Design/methodology/approach - This study involves analyzing data from Bitcointalk.org, consisting of 57,963 posts and 2,215,776 responses from November 22, 2009, to December 31, 2022. Tools used include the Linguistic Inquiry and Word Count (LIWC) software for classifying emotional content and the Python Pattern library for sentiment analysis. Findings - The results show that heterogeneous emotional feedback, whether positive or negative, significantly influences Bitcoin's intraday volatility, skewness, and trading volume. These findings are more pronounced when the underlying emotion in the feedback is amplified. Research implications or Originality - This study underscores the significance of emotional factors in financial decision-making, especially within the realm of social media. It suggests that investors and market strategists should consider the emotional landscape of online forums when making investment choices or formulating market strategies. The research also paves the way for future studies regarding the behavioral impact of emotions on the cryptocurrency market.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.9
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• pp.63-74
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• 2020

This study investigates the behavior of foreign investors in the Stock Exchange of Thailand (SET) in the time of coronavirus disease 2019 (COVID-19) as to whether trading is abnormal, what strategy is followed, whether herd behavior is present, and whether the actions destabilize the market. Foreign investors' trading behavior is measured by net buying volume divided by market capitalization, whereas the stock market behavior is measured by logged return on the SET index portfolio. The data are daily from Tuesday, August 28, 2018, to Monday, May 18, 2020. The study extends the conditional-regression model in an event-study framework and extracts the unobserved abnormal trading behavior using the Kalman filtering technique. It then applies vector autoregressions and impulse responses to test for the investors' chosen strategy, herd behavior, and market destabilization. The results show that foreign investors' abnormal trading volume is negative and significant. An analysis of the abnormal trading volume with stock returns reveals that foreign investors are not positive-feedback investors, but rather, they self-herd. Although foreign investors' abnormal trading does not destabilize the market, it induces stock-return volatility of a similar size to normal trade. The methodology is new; the findings are useful for researchers, local authorities, and investors.

• Journal of Digital Convergence
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• v.19 no.8
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• pp.161-171
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• 2021

According to the equity home bias theory, foreign investors are considered to have less information than native investors. However, as the economy becomes liberalized and overseas economic innovation has a great influence on the local economy, it is possible for foreign investors to invest as informed traders. This study analyzes whether information on trade amount by nationality has specific characteristics. The findings are summarized as follows. First, the increase in trading by foreign investors has negative effects on stock returns. There is no significant difference in these negative effects by nationality. This means that foreign investors show strong herd behavior regardless of nationality. Second, foreigners' investment activities increase stock price volatility, but the impact is not significant. Third, the behavior of foreign investors is still positive feedback. However, there are signs that positive feedback behavior may be changing, especially for funds from the United States and the Cayman Islands. Finally, tax haven zone funds have different investment strategies than other foreign investors. However, Cayman Islands funds, which are estimated to be closely related to Korea, are different from Luxembourg and Ireland funds. These findings undermine the fundamentals of the equity home bias theory.

• International Area Studies Review
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• v.20 no.1
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• pp.79-104
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• 2016

This paper investigates the impact and behavior of foreign equity investment in Asian emerging economies during the 2007-2008 and the 2010-2012 global financial crises in terms of volatility and return. The empirical results indicate that foreign investors show positive feedback trading behavior in the sample countries. We find evidence that foreign investors' net selling behavior significantly increases market volatility in most countries.

• Journal of Korea Game Society
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• v.10 no.3
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• pp.47-59
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• 2010

Differing from most of current studies which recognizing game item cash-trade as simple static system, this study approaches game item cash-trade as Complex Adaptive System through historical analysis. The item-trade is a complex phenomenon converging between cyber-economy and real-economy, and production and consumption process of game-item are evolving dynamically over time. The results are following: first, the early item-trade emerges in endogenously rather than results from purposed system designed by singular actor. Second, after the early item-trade, the trade system as a CAS which various voluntary actors(single user, factory, game company, user community, agency, etc.) participates in is self-organizing for trading safety and efficiency. Third, the complex adaptive item-trade system satisfies actor's needs interdependently and accelerate positive feedback powerfully. This study implies that purposeful control disregarding emergent adaptive item-trade system distorts system efficiency and can lead to unintended policy failure.