Bitcoin Trading with Quantum Belief Networks

Abstract

The field of quantitative finance is constantly seeking new tools to exploit the complexities of the financial markets. With classical computers having limitations, the burgeoning field of quantum computing offers immense computational capabilities. Though Belief Networks have been useful in quantitative finance, their towering computational demands on classical systems limit their efficacy. On the other hand, Bitcoin’s popularity has increased in the last few years due to its unique features, such as decentralization and blockchain. Being relatively new Bitcoin’s market possesses huge potential. Price of the Bitcoin depends upon various economic and market factors, also possesses quite high volatility making traders worried while dealing with it. This project tries explore the potential of quantum computing technologies and Belief networks for developing new long-short Bitcoin trading strategy by leveraging the strengths of both paradigms.