Is Covid-19 a cause for BTC price drops?

[Gafman]

I could say that the global pandemic affected the price at first and that was probably due to panic selling due to lockdown but we can see that after a few weeks Bitcoin and other Cryptocurrency aren't really back to their normal price before the pandemic but have risen considerably from their low prices.

[Latviand]

Although Halving has come close, it seems that there is no optimistic signal that BTC will rise. Currently Corona Virus is making it difficult for the leading economies in the world. And is that the main cause of Bitcoin price drops? Let me give you some possibilities

Bitcoin is speculative asset, based on supply and demand.

1. Unemployed people do not have income so they do not dare to invest in Cryptocurrency.
2. The psychology of fear that if we die by Virus and die, investing in Cryptocurrency will not bring anything when we die
3. In a difficult economy, investors need to withdraw assets and sell cash to maintain businesses such as payroll, purchase and sale of goods instead of investing in cryptocurrencies.
4. The disease has not yet been controlled, the economy has not shown signs of recovery, so investors are afraid of not participating in the Cryptocurrency market.

If we go on your reasoning, the pandemic or at least the fear in the crypto market took its toll last month plunging to $3800 but have you noticed that the market has bounce back already? If the Covid-19 has a direct impact to the market and again based on your logic the price should be 0 by now. But it didn't happened right?

In some part, YES, because some people are have no money to use in this lockdown so that bitcoin holders are forced to sell some of their bitcoin just to buy their necessities. It is not easy to sell bitcoin because you think that someday you will regret it but what can you do if you really need some fiat? You're the one who will benefit for it. Crypto market are crashing and demand of some stocks are also affected and people are having a hard time manipulating their coins. The reality strikes when we think that bitcoin is just important here in this world and you can't bring it when we die, that seems really accurate but people are still holding bitcoin instead of selling it and buy those goods that is necessary for survival.

[mindrust]

Covid19 did indeed trigger the price drop. It wasn't only bitcoin though. Stocks and even gold went down last month.

Strangely, Gold is going for a new ATH now while btc isn't doing that great.

[Republikcoin.com]

Covid19 did indeed trigger the price drop. It wasn't only bitcoin though. Stocks and even gold went down last month.

Strangely, Gold is going for a new ATH now while btc isn't doing that great.

it might take some time to see its effect on bitcoin. Well, many blame the decline that occurred because of COVID-19. but, slowly the price of bitcoin is rising. I think this is the effect of the many people who are starting to get to know Bitcoin.

[KrisAlex18]

Based on your profile, you are a beginner and I want to tell some advice on you, I have seen a lot of topics so much related to this one, it seems like so redundant, so to avoid this thing you may use the search engine to know if there is existing topic same as what you are thinking and if you see the latest post about it, then do not post it.

Anyway, bitcoin is really helpful for everyone in this world especially the one who is using it. It is really helpful in our current situation, as the virus is still existing we are required to stay at home, and to continue some of our transactions we can do it online and use our bitcoin as payment.

Bitcoin's price drop down cause by COVID-19 is legit, done of the traders, players, investors pull out their money because of being afraid that bitcoin can be dead soon. So for them not to lose the money they have to pull it out.

[leoagro]

When it all started, people started panicking and selling btc, thereby lowering the price. But then the situation stabilized.

[XCANA]

Absolutely correct, this pandemic has done more harm than good to the masses and even to the nations if nations around the world. Remember that, stock market crashed during this pandemic and not only that, the cryptocurrency market wasn't an exception as we have seen.

Although, the drop has not affected the cryptocurrency market as it has done to the crude oil market which has gone to zero point. Hope has been rekindling in some few days now as the market has started growing again. At least we're witnessing a good move from cryptocurrency towards Bitcoin halving.

[3meek]

I think Bitcoin is going to have a hard time after the pandemic! Firstly, it has not experienced a single crisis yet, and it is not known how it will survive the coming crisis! Secondly, a lot of people around the world will be left without jobs and certainly not investing in cryptocurrencies...

But I hope that Bitcoin will be all right!

[Janation]

1. Unemployed people do not have income so they do not dare to invest in Cryptocurrency.
2. The psychology of fear that if we die by Virus and die, investing in Cryptocurrency will not bring anything when we die
4. The disease has not yet been controlled, the economy has not shown signs of recovery, so investors are afraid of not participating in the Cryptocurrency market.

When we talk about losses, I don't think we should all include this.

How can we be affected or how the price fall when they are not even investing in cryptocurrencies mainly Bitcoin. The possible reason for the dumps that you said is just close to number 3. I think what you are saying is not the possible reason why the price of Bitcoin drops but the possible reasons why the price is not increasing before the halving.

[Leviathan.007]

Kinda It was But the panic came from it was the actual reason.
However, It shouldn't be because people they had FUD and did the panic sell lost a lot during this time.
But still after ending this period of time and you can see as the covid-19 situation is better better the price is getting recovered too

[YCrow]

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Benefit from bitcoin even when the crypto markets are crashing.
Join today and see how much you can make: https://   [Suspicious link removed]  /6WWEUf (remove spaces)

[The Sceptical Chymist]

And is that the main cause of Bitcoin price drops?

All those scenarios you laid out may have some merit to them, but it all boils down to the answer to the above--and yes, the coronavirus outbreak is basically the main cause for a lot of things lately, including bitcoin's price.  I don't think there's any good way to quantify the effects, but they're real nonetheless

I've always thought that there haven't been enough data points regarding the halvings and their influence on bitcoin's price.  It isn't as though there necessarily needs to be a correlation between the mining rewards and what the price has to be.  And in any event, I think the viral outbreak has overwhelmed most if not all of the gains bitcoin might have received because of the upcoming halving.

But we'll see.  That halving hasn't happened quite yet.

[Sanugarid]

I think is it possible it is not impossible,Because covid-19 is the very dangerous virus in the world,  many people L
Already death for this virus, and many people now seeks for this,  so almost 2.5 million people already seeks for this virus so i think many people withday her /sher money for good treatment so i think  it is possible   

Don't forget it's not just coronavirus we're dealing with but a total slowdown of the economy in almost every country. I think we can somewhat blame the lockdown to cause oil prices to drop for sure but everything else was actually getting really bad before Wuhan came out with the news.

Blame the lock down? if that's the case then you should pointed out the corona virus, because it is the one that caused the lock down in many countries, aside they need it for them to protect every one on getting caught the virus. I know that the economy lately has been bad, then the virus comes that makes it worse. I thought at first that with this kind of situation bitcoin will shine, but the whole network panicked and only the real ones resisted for the price.

[giammangiato]

Although Halving has come close, it seems that there is no optimistic signal that BTC will rise. Currently Corona Virus is making it difficult for the leading economies in the world. And is that the main cause of Bitcoin price drops? Let me give you some possibilities
1. Unemployed people do not have income so they do not dare to invest in Cryptocurrency.
2. The psychology of fear that if we die by Virus and die, investing in Cryptocurrency will not bring anything when we die
3. In a difficult economy, investors need to withdraw assets and sell cash to maintain businesses such as payroll, purchase and sale of goods instead of investing in cryptocurrencies.
4. The disease has not yet been controlled, the economy has not shown signs of recovery, so investors are afraid of not participating in the Cryptocurrency market.

Yesterday we received a positive signal from BTC which suggests a rise in the price after halving. The price will rise as after each halving, at the same time we are coming out of this crisis situation COVID-19. We are also coming out from this crisis

[Ril2teach]

It completely depends on the path we take as soon as the real problems come up. I still believe we haven't entered the worst timeline yet.

I mean, it depends on what the most significant part of traders think - their way of doing economics is going to show the most significant change. If the majority of the market players will have no savings and will need to sell their assets, the market takes a negative turn. It can't really be predicted imo with much accuracy. I'm going to just let it be and whatever happens, I'll be right here shilling BTC 'till the end.

~
2. The psychology of fear that if we die by Virus and die, investing in Cryptocurrency will not bring anything when we die
~

No offense but this one sounds kinda stupid. We obviously don't bring anything with us upon death.

It is so obvious that this Covid-19 really affect a lot of sector in our country, most especially, the financial or economic sector. Economy of most countries crashed because of the Covid-19 that really increase the demand of those necessities just to survive the quarantine. Market are panicking and government has nothing to do with that but to fight this economical problem.

The crude oil's price also crashes to 0 and this is the first time in the history, I think it occur because of the existence of Covid-19. The virus is really uncontrollable and very complex as it is spreading really fast and killed a lot of people are affected and killed by this pandemic.

BTC is also affected most especially it is them most popular cryptocurrency and many people are using this. It is true that you can't bring and manipulate your BTC when you die, that's why you also need to manage your coins and at the same time taking care of yourself. Bitcoin's price is really having a hard time to grow again because of this virus but I know it will bounce back as soon as this pandemic ends.

Totally Agree. Oil prices crashes because Russia refused to decrease their production so Arabia saudi increase theirs by 3.000.000 barrels daily which saturated the market. Russia did decrease production but the changes will be seen next month. Producers are paying for storage and that's why the price is 0, because of COVID19 and quarentine there is less use of oil and with no vaccine at sight I guess this situation will last.

Investors will panic and banking will be affected so banks will make restrictive politics about withdrawals that will lead people to invest in BTC as It's a non government currency.

This situation should be seen also as an oportunity for BTC, that's my point of view

[Wilhem Jager]

Although Halving has come close, it seems that there is no optimistic signal that BTC will rise. Currently Corona Virus is making it difficult for the leading economies in the world. And is that the main cause of Bitcoin price drops? Let me give you some possibilities
1. Unemployed people do not have income so they do not dare to invest in Cryptocurrency.
2. The psychology of fear that if we die by Virus and die, investing in Cryptocurrency will not bring anything when we die
3. In a difficult economy, investors need to withdraw assets and sell cash to maintain businesses such as payroll, purchase and sale of goods instead of investing in cryptocurrencies.
4. The disease has not yet been controlled, the economy has not shown signs of recovery, so investors are afraid of not participating in the Cryptocurrency market.

Yesterday we received a positive signal from BTC which suggests a rise in the price after halving. The price will rise as after each halving, at the same time we are coming out of this crisis situation COVID-19. We are also coming out from this crisis

Actually, the price in € crash the 8th or 10th march if i remember, since then the price of BTC just rise again from 3.900 aprox to 6900€ today

[LUCKMCFLY]

It completely depends on the path we take as soon as the real problems come up. I still believe we haven't entered the worst timeline yet.

I mean, it depends on what the most significant part of traders think - their way of doing economics is going to show the most significant change. If the majority of the market players will have no savings and will need to sell their assets, the market takes a negative turn. It can't really be predicted imo with much accuracy. I'm going to just let it be and whatever happens, I'll be right here shilling BTC 'till the end.

~
2. The psychology of fear that if we die by Virus and die, investing in Cryptocurrency will not bring anything when we die
~

No offense but this one sounds kinda stupid. We obviously don't bring anything with us upon death.

It is so obvious that this Covid-19 really affect a lot of sector in our country, most especially, the financial or economic sector. Economy of most countries crashed because of the Covid-19 that really increase the demand of those necessities just to survive the quarantine. Market are panicking and government has nothing to do with that but to fight this economical problem.

The crude oil's price also crashes to 0 and this is the first time in the history, I think it occur because of the existence of Covid-19. The virus is really uncontrollable and very complex as it is spreading really fast and killed a lot of people are affected and killed by this pandemic.

BTC is also affected most especially it is them most popular cryptocurrency and many people are using this. It is true that you can't bring and manipulate your BTC when you die, that's why you also need to manage your coins and at the same time taking care of yourself. Bitcoin's price is really having a hard time to grow again because of this virus but I know it will bounce back as soon as this pandemic ends.

Totally Agree. Oil prices crashes because Russia refused to decrease their production so Arabia saudi increase theirs by 3.000.000 barrels daily which saturated the market. Russia did decrease production but the changes will be seen next month. Producers are paying for storage and that's why the price is 0, because of COVID19 and quarentine there is less use of oil and with no vaccine at sight I guess this situation will last.

Investors will panic and banking will be affected so banks will make restrictive politics about withdrawals that will lead people to invest in BTC as It's a non government currency.

This situation should be seen also as an oportunity for BTC, that's my point of view

Although it may be a valid reason, it should be noted that many times this type of fall is because there is something more fundamental than a simple disagreement, the COVID-19 can be a factor, it must be remembered that oil is also considered by many to be safe haven, such as silver and other precious metals, gold also and in countries with inflationary economies, Bitcoin behaves as a safe haven, perhaps the crash goes far beyond disagreements between OPEC countries.

[hung58bitcoin]

I think COVID-19 is the driving force for bitcoin price to pump in the future. Because as you know, this virus can spread through fiat. Governments encourage people to buy goods online and pay with cryptocurrencies. Besides, the Fed is printing a lot of money to help the US economy to avoid an economic crisis. They gave each US citizen $ 2000 per month. Therefore, I think many people will invest that money in the cryptocurrency market, this made  the price of BTC to pump in the future.

[denzkilim]

you are missing the fact that bitcoin is not an asset, it is a currency. and majority of those who have chosen to convert their fiat to bitcoin have done it to either escape the tyranny of centralized powers or because they know this decentralized currency is independent of any other markets.
there is of course panic due to the other markets going up in smokes these days but as we have seen from the past several weeks the effects of that panic caused 2 days of falling and then the price even recovered most of it within a week. now the only effect that panic has is the uncertainty that people have about the time the rise begins that is why it has not yet begun even though there is a serious accumulation going on.

That's correct. Bitcoin is a currency but most people use it as an asset.

3. In a difficult economy, investors need to withdraw assets and sell cash to maintain businesses such as payroll, purchase and sale of goods instead of investing in cryptocurrencies.
4. The disease has not yet been controlled, the economy has not shown signs of recovery, so investors are afraid of not participating in the Cryptocurrency market.

These 2 plays a big part in the price drop.
If you followed other markets out there. you would notice that they had the same pattern.

Maybe they have the same pattern but it's only for a very short period of time and if you'll notice Bitcoin is already recovering unlike those traditional markets outside the crypto world.

[ChiBitCTy]

This is a very interesting topic right now and one that I have quite often with buddies of mine. I'm an investment advisor by trade and so following market trends is something I am always having to be right on top of.  At present moment almost everything financially is being dictated by two things.. 1) Oil prices 2) covid-19.  Covid 19 is of course a huge reason why the stock markets are getting crushed every other day, but it's also indirectly affecting btc.  Like it or not, the stock market has a BIG role in bitcoins price movement at present. 

Things have started to come around a bit with the markets.  We are today around where we were a year ago.  It still seems so bad because the past year was insane as in terms of gains in the markets, record highs every other day seemingly.  With the halving coming up in May it's going to be pushing prices up.  If the markets can continue to at least maintain current levels..I see good things ahead shortly.  Long term, much less clear.