A bibliometric review on cryptocurrency market sentiment

Abstract

Market sentiment in the cryptocurrency market is a crucial determinant of price movements and investment strategies. This study conducts a bibliometric analysis to explore the relationship between investor sentiment, behavioural biases, and cryptocurrency market dynamics from 2009 to 2023. Utilising a dataset of 5,184 records from the Web of Science and advanced bibliometric tools (Citespace, VOSviewer, and Nvivo), we identify key research trends, influential contributions, and emerging areas of study. Our findings highlight that investor sentiment, herding behaviour, and social media influence play significant roles in shaping cryptocurrency prices. Additionally, momentum and contagion effects emerge as dominant factors, underscoring the presence of psychological biases in cryptocurrency trading. This study provides critical insights into the evolving landscape of digital finance by mapping research clusters and citation networks. The results reveal key gaps in the literature, such as the need for further research on sentiment-driven contagion, the role of alternative sentiment proxies (Google Trends, Twitter), and cross-market influences. These insights offer valuable implications for academics, policymakers, and market participants by advancing the understanding of behavioural dynamics in cryptocurrency markets and guiding future research directions.