A Review Paper on Bitcoin Price Prediction using Machine Learning Techniques

Abstract

Bitcoin uses a peer-to-peer technology to operate with no central authority or banks. Bitcoin is open-source; its design is public, nobody owns or controls Bitcoin and everyone can take part. It is a crypto currency, so-called because it uses cryptography to control the creation and transfer of money. Users send payments by broadcasting digitally signed messages to the network. Participants known as miners verify and timestamp transactions into a shared public database called the block chain, for which they are rewarded with transaction fees and newly minted bit coins. The Bit coins value varies just like any other stock . There are many algorithms used on stock market data for price forecast. However, the parameters affecting Bit coin are different. Therefore it is necessary to foretelling the value of Bitcoin so that correct investment decisions can be made. The price of Bitcoin does not depend on the business events or intervening government authorities, unlike the stock market. Thus, to forecast the value it is proposed to leverage machine learning technology to predict the price of Bitcoin.