Will Bitcoin Be Back at $10K Soon?
The Coronavirus pandemic has caused plenty of fiscal problems as well as loss of human life since January 2020. Stock markets have fallen sharply around the 13th of March due to the spread of the virus in Europe and the USA. This seemingly affected all markets, possibly besides toilet paper manufacturers.
Bitcoin (BTC) and cryptocurrencies have long been called an uncorrelated asset, but it too experienced a price decline. Its price went from $7653 to $4183, a 45% decline in 48 hours.
Is Bitcoin Back?
It seems that cryptocurrencies might be recovering quicker than traditional markets. Bitcoin managed to climb by roughly 15% today and is now trading at $6010. This recovery has also extended to other cryptocurrencies as well. Bitcoin Cash (BCH) has had a 20% rise and is now trading at $212. Tezos (XTZ) has also had a dramatic 21% climb and is trading at $1.61 currently.
In comparison to cryptocurrencies, the Dow Jones grew by 1.09% today. London's FTSE rose by 1.40% and Berlin's DAX had the strongest rally noticeable with 2%.
This could be a result of President Trump's Coronavirus
stimulus package. According to his plan, American citizens will receive $1000
compensation for these troubling times.
It is important to remember that the Coronavirus is deeply affecting the markets currently. Should the infection and death rates dramatically increase, things could turn south in the financial markets. Despite that, we welcome this sign of a return to normalcy in both traditional and cryptocurrency markets.
Written by Jonathan Ganor
Writer & cryptocurrency aficionado