COVID-19 - The major reason for the current fall of Bitcoin

[LEON331300]

In this period of global pandemic,  the crypto world has taken various turns with respect to spred of the virus. But with an overall fall in price. A lot of individuals have clams that this fall is not as a result of the COVID-19 virus,  but it's so obvious that the Pandemic has a played a great role in this fall.

At the beginning of the year,  bitcoin has a worth of approximately  $9500, which is an optimal price compared to it's price today of
$6,647.47.  It can be concluded that Bitcoin has experienced a drastic fall and the Coronavirus is a major reason for it.

Following the fall in the US market stock which is equivalent to Its gain this year; thus erasing the gain, bitcoin has also taken thesame turn.

The major reason for this fall is fear. When fear enters the market,  it  creates panic and  people then to liquidate their money to a fiat funds that they can easily acess for their survival,  resulting to dumping and hence,  a fall in price.


What other reason do you think accounts for the fall of bitcoin at this point in time,
Want to hear your point Of view.

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[Yourhomeboy]

Long before the covid-19 outbreak, Bitcoin has been experiencing bull and bear market, varying from the market capitalization to huge amount of BTC that was stolen by hackers, Covid-19 has nothing to do with the rise and fall of BTC, if you say people are selling their BTC, it must be to a buyer that needs BTC, so it keeps revolving around, no BTC is leaving the crypto market, you should know that crypto is not a stabilized currency. Thank you.

[BluePowder]

That's completely wrong. Price doesn't come from end users who need BTC. 95% of BTC activity is trading and financial related transactions, payouts for mining etc. 100% of price comes from the 95% of trading. The remaining 5%, people doing legit transactions, sales, services. moneygrams are not discovarable in price so it has nothing to do with the currrent market price. Out of those 5% think how rarely they need to go to a discoverable source to buy it, once a month, one a year who knows but its nowhere near trading usage.

BTC now is a trader's tool. it follows the markets and news with a slight divergence when there is opposing activity in the news. the price goes down because people have less faith in the asset and the future market. when people have more faith in the markets and that particular asset it goes up as they are willing to pay more for it.

Long before the covid-19 outbreak, Bitcoin has been experiencing bull and bear market, varying from the market capitalization to huge amount of BTC that was stolen by hackers, Covid-19 has nothing to do with the rise and fall of BTC, if you say people are selling their BTC, it must be to a buyer that needs BTC, so it keeps revolving around, no BTC is leaving the crypto market, you should know that crypto is not a stabilized currency. Thank you.

[SUMBI99]

In this period of global pandemic,  the crypto world has taken various turns with respect to spred of the virus. But with an overall fall in price. A lot of individuals have clams that this fall is not as a result of the COVID-19 virus,  but it's so obvious that the Pandemic has a played a great role in this fall.

At the beginning of the year,  bitcoin has a worth of approximately  $9500, which is an optimal price compared to it's price today of
$6,647.47.  It can be concluded that Bitcoin has experienced a drastic fall and the Coronavirus is a major reason for it.

Following the fall in the US market stock which is equivalent to Its gain this year; thus erasing the gain, bitcoin has also taken thesame turn.

The major reason for this fall is fear. When fear enters the market,  it  creates panic and  people then to liquidate their money to a fiat funds that they can easily acess for their survival,  resulting to dumping and hence,  a fall in price.


What other reason do you think accounts for the fall of bitcoin at this point in time,
Want to hear your point Of view.

Many people have the same suggestions on this forum, But there is no need to repeat it as some people already talk about. There is a discussion on coronavirus being spamming the forum. So let contribute to already published topics about coronavirus and Bitcoin instead of starting a new topic which has the same meaning

[fabiorem]

A second shake of the stock market is coming next week, with the release of the "hantavirus". There is already one confirmed case in China of this old form of pneumonia.

The panic! And of course, bitcoin is going to follow the stockmarket, which is all the hodlers cult (tm) wants, so expect a plunge back to 3k. Also the miners adjusted the difficulty today, to a lower value, which will give us 2k after the plunge, opening the way to three digits. Short some now and buy back later, and if you cant buy, it will be no problem, as it will be useless when the new global centralized cryptocurrency hits.

We are looking at a financial reset, folks, do not triffle with it. This is no time for group thinking and internet cliques.

[exstasie]

A second shake of the stock market is coming next week, with the release of the "hantavirus". There is already one confirmed case in China of this old form of pneumonia.

The panic! And of course, bitcoin is going to follow the stockmarket, which is all the hodlers cult (tm) wants, so expect a plunge back to 3k.

Nice try with the FUD, but nobody cares about hantaviruses. According to the CDC, a hantavirus pandemic is very unlikely:

To date, no cases of HPS have been reported in the United States in which the virus was transmitted from one person to another.

I do think this week's stock market rally is a dead cat bounce and the bottom zone will be tested again just like the 1987 crash. However, I have doubts the market will be able to reach the same levels of panic as March 12th again. I would say the chances of BTC reaching the $3,000s again are unlikely.

[GreatArkansas]

The major reason for this fall is fear. When fear enters the market,  it  creates panic and  people then to liquidate their money to a fiat funds that they can easily acess for their survival,  resulting to dumping and hence,  a fall in price.

I think most of the people who panic last time were affected by major markets in the world, just like stocks. As we experienced, most of the markets dumped, not only in cryptocurrency or Bitcoin but also in major stocks in the world.
So, after the recent dump on Bitcoin, which almost 50% within just 24 hours. Here we are now, from around $3,800+ dump, we already almost doubled the price now which is currently we are on $6,700+ level. This is extremely good for Bitcoin.

[BluePowder]

So you think the world is a co-ordinated pack of dummies that base everything on panic. nice try. these are pro traders. they sell because this is how markets operate and nobody wants to tie their money up for months or years to see if it recovers. getting out of a stock first is the best thing you can do. you can rebuy later if there is still upside.

I bet half the posts here whining about the price were too stupid to sell and took a 50% hit

The major reason for this fall is fear. When fear enters the market,  it  creates panic and  people then to liquidate their money to a fiat funds that they can easily acess for their survival,  resulting to dumping and hence,  a fall in price.

I think most of the people who panic last time were affected by major markets in the world, just like stocks. As we experienced, most of the markets dumped, not only in cryptocurrency or Bitcoin but also in major stocks in the world.
So, after the recent dump on Bitcoin, which almost 50% within just 24 hours. Here we are now, from around $3,800+ dump, we already almost doubled the price now which is currently we are on $6,700+ level. This is extremely good for Bitcoin.

[bgaf]

A second shake of the stock market is coming next week, with the release of the "hantavirus". There is already one confirmed case in China of this old form of pneumonia.

I heard of it. Another shit virus came from China but this one isnt that dangerous compared to covid which has now ripping all the resources of every country. I disagree that the market will tremble once again just because of this new virus.

Short some now and buy back later, and if you cant buy, it will be no problem, as it will be useless when the new global centralized cryptocurrency hits.

Wow advising us to sell when we are currently at a loss? No way, Ive been positive that market will go up steadily, I can see when the time for short and to be honest, were going to have a very long way but Long position is advise for now.

[TravelMug]

So you think the world is a co-ordinated pack of dummies that base everything on panic. nice try. these are pro traders. they sell because this is how markets operate and nobody wants to tie their money up for months or years to see if it recovers. getting out of a stock first is the best thing you can do. you can rebuy later if there is still upside.

I bet half the posts here whining about the price were too stupid to sell and took a 50% hit

That's how everything operates right? get out if you are afraid and then come back, rebuy when everything settles down. As for those who are too stupid to sell and get REKT, that's only part of the market, weak hands are shaken and whales are buying back as many as they can from those who cash out early because of the panic.

Hanta virus?

Hantavirus is one illness you don’t need to worry about right now.

What is Hantavirus? Misleading messages spread fear after death in China.

[pooya87]

A second shake of the stock market is coming next week, with the release of the "hantavirus". There is already one confirmed case in China of this old form of pneumonia.

if markets crashed every time someone is infected by some virus somewhere in the world then no market could even exist ever. they would just be in constant dumping mode 24/7.
besides, bitcoin is not affected by any of that. neither the viruses nor the stock market. whatever happened this once was an exceptional case due to large scale panic and manipulation of the market. and that is not something that can repeat every time.

[rhomelmabini]

A second shake of the stock market is coming next week, with the release of the "hantavirus". There is already one confirmed case in China of this old form of pneumonia.

if markets crashed every time someone is infected by some virus somewhere in the world then no market could even exist ever. they would just be in constant dumping mode 24/7.
besides, bitcoin is not affected by any of that. neither the viruses nor the stock market. whatever happened this once was an exceptional case due to large scale panic and manipulation of the market. and that is not something that can repeat every time.

As what exstasie linked that one isn't to be afraid of since it can't be transmitted human-to-human, at least clean surroundings so that rodents will not come at your place, pretty basic though. This new breed of coronavirus is the one really serious and hope researchers speed along the vaccine and if the market crash again then everyone will know how to analyse that even if we recover a pandemic we can still see crashes on markets.

[rodskee]

since 4rth quarter last year Bitcoin price goes Ups and Down and not even stands in level for straight weeks.
but when January comes the price Luckily goes Up and Up as many speculate that this is the early effect of Halving until March arrive and This Virus infected the whole world  and today?yeah we are sitting in 6k$ level but this is at least higher than last week when we fall 3k level again.
but for me?let us be thankful because at least now we can buy even small amount to be ready in Halving.

[LogitechMouse]

In this period of global pandemic,  the crypto world has taken various turns with respect to spred of the virus. But with an overall fall in price. A lot of individuals have clams that this fall is not as a result of the COVID-19 virus,  but it's so obvious that the Pandemic has a played a great role in this fall.

It really isn't the major reason of the drastic fall of Bitcoin so your title is kinda misleading as you stated that the virus is the major reason of the fall of it.

The virus isn't the major reason of the fall of Bitcoin but it played a big role to it. Because of the overall panic and massive paranoia that the virus has created, not only crypto market but all of the global markets have been go down very hard. Investors sold their assets to cut their losses and probably some professional ones did it too but they bought it again but now at a lower price so that they will have a huge profit.

For the crypto market, I'm always saying this but the main reason why the Bitcoin falls down very hard is because of the leverage exchanges. So many longs got liquidated and that is the reason why the price of Bitcoin went down to almost 50% in one day. Many have said this too already.

The major reason for this fall is fear. When fear enters the market,  it  creates panic and  people then to liquidate their money to a fiat funds that they can easily acess for their survival,  resulting to dumping and hence,  a fall in price.

Since the price of an asset is based on sentiments of the investors, it really is a big factor to the price of it. Newbie investors who are feared will sell their assets like crypto or stocks while the professional investors will buy at the bottom so they will get a huge profit in the mid to long run.

What other reason do you think accounts for the fall of bitcoin at this point in time,
Want to hear your point Of view.

I said it already. Aside from the COVID-19, leverage exchanges are of the main reason too.

[Natalim]

As of now, there is no major fall on bitcoin, at the current trading price of $6600, though it fall but it's not the major fall.
The major fall happened when bitcoin drop to $4600 but it has picked up at the current price and it's a good sign that bitcoin is going to be bullish.

COVID-19 maybe affected the stock market, but even in the past, it was never correlated to stocks so we will make our own journey here.

Due to the pandemic, investors will realize that bitcoin is a good store of value.

[justdimin]

Obviously, it was corona virus that dropped the price but it was indirectly and not directly.

People who got afraid of the stock markets and other stuff just sold their coins for cheap to get rid of all the investments and just go all in cash which was basically the whole point, that is why it dropped. There was no need to sell because honestly we were just 10%-15% higher than this and losing that much during this time is not really all that much if you ask me. Many people lost 50% during this time, so losing 15% is nothing of importance.

However, you can't stop people from being scared and that is what happened here as well, just people being scared. When market is fearing something and dropping, that causes a snowball affect and we have found the bottom that way. Fortunately we are going up once again though.

[hatshepsut93]

I was saying that Bitcoin isn't affected by coronavirus weeks before the big crash, and I'm still standing by it. The virus does not affect directly, Bitcoin is not relying on supply chains, workers, etc. - things that can be disrupted by quarantine. It has no fundamental reason to fall. What happened is that a giant stock market crash took Bitcoin with it. You could argue that without the coronavirus there won't a stock crash, but still the virus wasn't a direct cause for Bitcoin's fall.

[figmentofmyass]

I was saying that Bitcoin isn't affected by coronavirus weeks before the big crash, and I'm still standing by it. The virus does not affect directly, Bitcoin is not relying on supply chains, workers, etc. - things that can be disrupted by quarantine. It has no fundamental reason to fall.

assets don't move based solely on direct fundamentals. during risk off periods, investors dump risky assets for safe havens. that means dumping bitcoin for cash. this is especially true now that institutional investors have been involved with bitcoin for years now. they dumped it like a hot potato when all other markets started crashing.

you are also ignoring the fear of recession and economic fallout, which directly affects bitcoin investors. record numbers of people are now unemployed. millions now have no money coming in. some of those people own BTC and will sell to cover vital expenses. others who might have invested in BTC won't now because they have no money or no prospects. when the market crashed, it was pricing all of this in.

[Wexnident]

Correction, Bitcoin entered the year pricing at around $7.5k. It only reached $9.5k by the end of February or something. As for the fall of BTC, yea if you trace it back, the major cause of it would be the virus, though blaming it all on it could be wrong. There was the plustoken scam after all, and the stock market crashed first before the crypto market did. We can probably assume that some traders thought that the same would happen to crypto, because it happened in the stock market, so they proceeded to sell their coins. This probably caused a bandwagon effect which pretty much lead to the recent lowest drop of BTC to $3.9k. There might even be more for the next few months. The recession seems to be quite near tbh, plus the possible economic losses that would be totaled out once the virus panic has passed by.

[FanEagle]

Looks like it is not going to impact bitcoin as much as it impacts other stuff, look at the prices right now and you can see that everything is green once again, it may go down once again, maybe we won't break 7k all that easily, however we are almost at the level where we started the year, look at stocks and other stuff from year to date and you will see that there are not that many ones that recovered the way bitcoin recovered so it is actually a great thing to wait it out in bitcoin instead of other stuff.

However do not forget that right now many people are still in cash, they think there could be some emergency purchases which is why many people sold their coins and their stocks so forth, they did it for "just in case" reasons and not a valid reason.