BITCOIN takes a beating as the coronavirus fear eats into the economies

BITCOIN takes a beating as the coronavirus fear eats into the economies

With panic selling driving investors to a frenzy, the markets have turned volatile enough to crash. With the spiraling stock markets, cryptocurrencies are doing no better. Bitcoin has crashed likewise, losing half of its value in the last seven days. It dropped by 50% falling to $3,850 per bitcoin. Later on, it rebounded to about $5000.

Peter Brandt, considered an expert bitcoin and cryptocurrency trader told that if this is the time for bitcoins he said that If he had to interpret the “chart without bias, he would say that bitcoins might fall to sub $1,000 per bitcoin. The Bitcoin had an epic success with its bull run in 2017. A fall below 1000 would be first after 2017 high.

With Trump’s announcement of $1.5 trillion to be pumped into the economy, others are not as damp. Arthur Hayes, the chief executive of Seychelles-based bitcoin and cryptocurrency exchange BitMex, says that Bitcoin, “should have a nice run back through $10,000 towards $20,000 by year-end.

Like in stocks and bonds the oil price cut by Saudi Arabia has affected Bitcoins as much too. The coronavirus has caused harm. The dire state of the situation is such that the US market took a nosedive of 10%. Wall Street went into a 15% circuit breaker that too for the second time in a week.

The latest slump is triggered by the fact that the federal bank, The European Union’s central bank and the President of the US could give no assurance to the market on how will the falls be absorbed.