Coronavirus is very harmful to fiat currencies, not bitcoin

[el kaka22]

I do not understand how people all around the world think that gold is unaffected by this and they are buying gold like crazy but they are selling crypto for no reason at all. If you think that gold and silver will be really high because of the inflation and bad markets and devaluation and all that reasons, why wouldn't bitcoin be like that as well?

It will definitely be affected in a good way but no people can see that. Hopefully overtime bitcoin will be able to explain itself better to masses so that next time something like this happens we will go up instead of going down like stock markets. We are more correlated with gold than stock markets but for some reason we act with stock markets. Maybe it is because many stock market companies also offer bitcoin as well nowadays.

[bitcoinst]

One way or another, fiat systems are associated with cryptocurrency.
Indeed, in the event that big problems begin to arise with fiat, then most of the majority of BTC holders will most likely have to get rid of some of the funds in favor of fiat due to its greater practicality.

[LeGaulois]

I do not understand how people all around the world think that gold is unaffected by this and they are buying gold like crazy but they are selling crypto for no reason at all. If you think that gold and silver will be really high because of the inflation and bad markets and devaluation and all that reasons, why wouldn't bitcoin be like that as well?

Inexperience maybe? Most people in the forum are young so they perhaps never experienced a crisis as big as this one, expect in 2008 maybe, but you have to admit the current crisis could become a lot more important than in 2008

Personally I wouldn't say gold is unaffected, this pas 7 days were a good example but for sure we're in a good period to buy some XAU for a short term profit. On the other side, I don't believe it's a good period to sell your cryptos, I would rather wait some months until the storm is over and the crypto market recovers what it can

[hahay]

Yes, that is the reason the crypto market does not have a correlation with coronavirus but when the threat becomes greater, then this pandemic will indirectly have a negative impact on the crypto market as it has so far, because if the price drop is so deep it is only due to internal factors, then it seems unlikely the price will drop so deep or just because it's approaching halving but in reality, at least there is still another month for the halving event. That way, I feel very clear when there is a pandemic that it is a big threat to the world economy and at least it has proven to have a very bad impact on any activity in the world.

[Shasha80]

It's true that corona virus is very dangerous for fiat currency, because fiat currency generally has to make physical contact. And the thing
causing corona virus spread more quickly. Whereas bitcoin all transactions are carried out digitally and there is no need to make contact
physically, so proven to be very safe. The governments of the world should consider bitcoin to be legalized as payment, so that transactions
finance can still happen, without worrying about infected the corona virus.

[Stedsm]

I do not understand how people all around the world think that gold is unaffected by this and they are buying gold like crazy but they are selling crypto for no reason at all. If you think that gold and silver will be really high because of the inflation and bad markets and devaluation and all that reasons, why wouldn't bitcoin be like that as well?

It will definitely be affected in a good way but no people can see that. Hopefully overtime bitcoin will be able to explain itself better to masses so that next time something like this happens we will go up instead of going down like stock markets. We are more correlated with gold than stock markets but for some reason we act with stock markets. Maybe it is because many stock market companies also offer bitcoin as well nowadays.

I believe that even Gold is not a good example here if you point out the physical version of the Gold which will probably come with the infection and may prove to be the buyer's final mistake they'll do, why BTC is the digital version of Gold and should definitely be worth at least 10 times of what Gold is at. A brief explanation of what could be the reason for this crash can be found here - "Game Over" a thread by logictense.

[FanatMonet]

Unfortunately, as the situation showed, coronavirus is also dangerous for cryptocurrencies, but not directly, but because of the impact on the stock assets, energy resources, and other sectors of the real economy, which incur large losses.

[yanto@1977]

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

I believe currency connected with bitcoin ( as pairs ) if currency fall we will loss value when cash out. I think it's same situation for economy, all in red zone and don't know when will end. Every country take different respond but the purposes is make stability in their public economy, whatever the method. If you can take benefits from government respond/ policy it will helpful so stay positive with bitcoin but always use stop loss.

[carlisle1]

Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

How i wish it was that simple because it is not the Government whos Supporting Bitcoin but the Individuals and their reaction is far from your POint.
Investor now are Getting Out their Money inside crypto and that is what the reality now so expect the effect of this crisis to the whole world either Fiat or Crypto because the most affected are us who is using this currencies.

Unfortunately, as the situation showed, coronavirus is also dangerous for cryptocurrencies, but not directly, but because of the impact on the stock assets, energy resources, and other sectors of the real economy, which incur large losses.

not directly to cryptocurrency but still Domino effect right?and we cannot deny that looking at the chart how the whole crypto market respond to the issue.

[Argoo]

Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

Bitcoin has not remained unchanged. He lost almost half his price. In the case of the spread of coronavirus, we saw that the real economy and cryptocurrency are very connected. And here it is unlikely that the price of Bitcoin fell due to panic. I don’t see any panic. People were forced to spend extra money in order to prepare for protection against this virus in conditions of temporary isolation. We saw that all markets collapsed, including the cryptocurrency market.

[tvplus006]

Fiat currency is a physical object , so it is possible that the virus could be pass on to another person, that is why there are countries who avoids accepting physical money for their own sake because you can't really say if that money has been touch or not by an infected person.

This is where the fiat is disadvantaged, as people are often to use fiat and contacted it, the virus could easily transfer from one to another person leaving the disability of the virus to be airborne useless. Using crypto and other digital payments would be helpful on such cases like this, it might be even the solution for non-contact policies and social distancing.

Transmission of the virus via Fiat money is not such a big problem. If there is such a percentage of infected, it is not large. The main reason for the spread of infection is direct contact with a sick person. We must first defeat the virus, and then the focus will be on the economy, including cryptocurrencies.

[In the silence]

Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

Indeed you are right mate more fiat of the countries affected will print and print more national currency to pay debt and add mo debt, then sell their stocks for fresh printed fiat.
This is critical in the nations inflation rate.

[Hydrogen]

I agree bitcoin should not be as heavily influenced by corona as more traditional markets, financial institutions and economies. Unfortunately, natural market mechanics are far from being the only forces influencing crypto valuation in this day and age. In modern times, we have witnessed central banks influence stock markets through Quantitative Easing. It has become status quo for the federal reserve to routinely expand its balance sheet by $400 billion dollars to inject liquidity into stock markets.

That massive and overwhelming volume to buy and sell. To epically create demand or reduce it. It is the ultimate power to influence markets. To raise them up. Or to crash them through the floor. The implications of this are not widely understood or advertised. But they do exist. And perhaps we can surmise similar events are transpiring in the crypto world as well. In terms of federal reserve or central bank liquidity being utilized to influence valuation of markets.

[countryfree]

The European Central Bank has just released a €750 bn package to save the €. Will it save it, or will it kill it? I'm not sure.

Once again, BTC's safe.

[Genemind]

Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

The coronavirus is actually affecting the global economy. In our country, it's an advantage to use cryptocurrency but the problem is most merchants who are accepting it closed their establishments due to the community quarantine so we have to convert from cryptocurrency to fiat just to purchase our necessities. This pandemic disaster is affecting fiat more than cryptocurrency but if only there will be more businesses and merchants who are now adopting it, more people will use it for their safer daily transactions.

[Jating]

Fiat currency is a physical object , so it is possible that the virus could be pass on to another person, that is why there are countries who avoids accepting physical money for their own sake because you can't really say if that money has been touch or not by an infected person.

This is where the fiat is disadvantaged, as people are often to use fiat and contacted it, the virus could easily transfer from one to another person leaving the disability of the virus to be airborne useless. Using crypto and other digital payments would be helpful on such cases like this, it might be even the solution for non-contact policies and social distancing.

Transmission of the virus via Fiat money is not such a big problem. If there is such a percentage of infected, it is not large. The main reason for the spread of infection is direct contact with a sick person. We must first defeat the virus, and then the focus will be on the economy, including cryptocurrencies.

Right, I'm pretty sure that every scientist are doing their jobs 24x7 to find a cure and a vaccine to control the spread. They don't have that much time though, another month and multiple deaths will have a big impact on the world economy.

There are stimulus package being injected by the central banks to help ease the pressure, but I don't think it will be enough though. It will be just a temporary solution, in my opinion.

[YOSHIE]

Have you seen how governments responded to the corona virus?

Virus C
The government began to issue facts about indications of infection with the C virus by means of touching, talking and can also occur on objects held by sufferers of corona.

This makes sense if the C virus can be transmitted through fiat money, unlike the case with the crypto currency that does not touch it is very impossible to transmit the virus, but if it has been made fiat money is likely to be dangerous, because we don't know the money we hold comes from who and for whom.

So, if the government implements crypto as a transaction currency worldwide it is likely that the c virus cannot be transmitted, because people pay by transferring crypto to crypto.

[Sadlife]

Without people spending money to travel, buy products and pay for services the value of a currency will surely plunge. I wonder how much the current monetary system could hold against the corona outbreak and financial crisis. Better prepare to find alternative safe havens to store money cause looks like the banks are barely holding even their methods to stimulate the economy is not working.

[bhabygrim]

Have you seen how governments responded to the corona virus?

Quite simply, in Italy, the US and elsewhere, they will increase their budget deficit, and add debt. In my understanding, that's very bad for fiat currencies, while BTC will remain unaffected, thanks to the lockdown on money supply.

Everything has been affected by this corona virus even the BTC.
We have seen the price of crypto drops down when corona is spreading through other country and not just crypto but also stocks.
So corona virus isn't just harmful to fiat currencies but to the economy.

[tvplus006]

Everything has been affected by this corona virus even the BTC.
We have seen the price of crypto drops down when corona is spreading through other country and not just crypto but also stocks.
So corona virus isn't just harmful to fiat currencies but to the economy.

The coronavirus is not dangerous directly for BTC) Coronavirus affects primarily people and as a result, it leads to a decline in the economy. Therefore, we see a drop in the stock market, which as a result of the panic affected the cryptocurrency market.