This information is provided by Bitvavo, a trading platform.
In the age of information, Coronavirus has gone…well, viral. It’s nearly impossible to turn on a computer, mobile phone, or switch on the TV or radio without hearing of a new and unconfirmed impact that the novel virus has brought with it.
COVID-19, or the novel Coronavirus, was first reported in Wuhan Province, China, in December of 2019. Just four months later, the virus has become a global pandemic with an onslaught of new cases worldwide. While specifics about the virus are still hotly debated, as researches desperately attempt to stay on top of data collection, care, and testing, one thing is for certain: this virus could potentially change everything as we know it.
Governments from around the world have begun to place strict injunctions against common activities of daily living. From school closures to bars, restraints, nightclubs, and even sporting activities. With the economy seeming to grind to a halt, markets are taking a massive hit. Even common safe-haven stocks, such as gold, are seeing their own bearish downturns.
Which leaves many traders continuing to carefully watch cryptocurrencies. For years, many experts have cautioned against bitcoin and other cryptocurrencies as safe-haven assets, solely because they lacked the vital data necessary to see how these markets would perform in a crash or recession. Now, because of Coronavirus- their moment may have arrived.
Bitcoin took a massive hit last week dropping nearly 50% in value, before showing moderate recovery. But wild fluctuations in price aren’t new news for many crypto traders. With the inherent volatility of bitcoin being one of its major assets for many traders. Some speculate that cryptocurrency tokenization of tradable assets may be the answer to future global financial crises and that Coronavirus may prove to be a real-world test of such a theory. However, as with many problems the world now faces, only time will tell.