Predicting Bitcoin Price using Machine Learning

Abstract

Bitcoin is the world's first decentralized digital crypto currency which does not need an intermediary like a bank and is most secure because of block chain implementation. The price of a single bitcoin has been increasing drastically since 2010 as a form of digital gold. Thus, bitcoin is very volatile as its price changes every second which is a high risk for investors. The purpose of this paper is to analyse the machine learning algorithms which are of maximum efficiency in predicting the bitcoin price. I have explored many machine learning regression-based algorithms to build a prediction model for analysing future bitcoin prices. This paper is based on a deep learning-based artificial neural network model named GRU (Gated Recurrent Unit) to predict bitcoin future prices accurately based on past price information available. Root Mean Square Error and Mean Absolute Percent Error are the key performance indicators to measure forecast accuracy.