IDEAS home Printed from https://ideas.repec.org/a/gam/jcommo/v4y2025i4p27-d1787412.html
   My bibliography  Save this article

Green Hydrogen Market and Green Cryptocurrencies: A Dynamic Correlation Analysis

Author

Listed:
  • Eder J. A. L. Pereira

    (Instituto Federal do Maranhão, Bacabal 65700-000, Brazil)

  • Thanmillys Nadhynne de Lima da Conceição

    (Instituto Federal do Maranhão, Bacabal 65700-000, Brazil)

  • Emanuel Cruz da Lima

    (Instituto Federal do Maranhão, Bacabal 65700-000, Brazil)

Abstract

The urgent need to mitigate climate change has elevated green hydrogen as a sustainable alternative to fossil fuels, while green cryptocurrencies have emerged to address the environmental concerns of traditional cryptocurrency mining. This study investigates the dynamic correlation between the green hydrogen market and selected green cryptocurrencies (Cardano, Stellar, Hedera, Algorand, and Chia) from July 2021 to April 2024, utilizing the Dynamic Conditional Correlation GARCH (DCC-GARCH) model with robustness checks using EGARCH and GJR-GARCH specifications. Our findings reveal significant correlations, with peaks reaching up to 50% in 2022, a period likely influenced by the Russia-Ukraine conflict. Subsequently, a decline in these correlations was observed in 2023. These results underscore the interconnectedness of sustainability-driven markets, suggesting potential contagion effects during periods of global instability. The high persistence of correlation shocks (α + β values approaching unity) indicates that correlation regimes tend to be long- lasting, with important implications for portfolio diversification and risk management strategies. Robustness checks using EGARCH and GJR-GARCH specifications confirmed qualitatively similar patterns, reinforcing the validity of our findings into the evolving landscape of green finance and energy.

Suggested Citation

  • Eder J. A. L. Pereira & Thanmillys Nadhynne de Lima da Conceição & Emanuel Cruz da Lima, 2025. "Green Hydrogen Market and Green Cryptocurrencies: A Dynamic Correlation Analysis," Commodities, MDPI, vol. 4(4), pages 1-14, November.
    • Handle: RePEc:gam:jcommo:v:4:y:2025:i:4:p:27-:d:1787412
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2813-2432/4/4/27/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2813-2432/4/4/27/
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jcommo:v:4:y:2025:i:4:p:27-:d:1787412. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.