Abstract:

Digital currencies have considerably begun to be demanded in international markets for the last few years by increasing their effectiveness. Bitcoin come to the forefront between digital currencies when transaction volume and the rate of return are taken into account. In this context, the relationship between dollar exchange rates and Bitcoin prices was examined using structured breakdown tests with weekly data covering the period of November 24, 2013 - March 4, 2018. According to the results of the Maki Cointegration test, which permits structural breaks, it is concluded that the variables have a long term relationship with the structural breaks. In the Hacker-Hatemi-J Bootstrap causality test results, a causality relationship was found at the level of 1% significance towards dollar prices in Bitcoin prices.

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