Since Coronavirus has taken over everything, countries are expecting a major economic recession, despite the drastic measures that have been taken over the last month. Major indices and global companiesface shocking drops in value, market capitalization and market share. The cryptocurrency market made no exception.
After the Coronavirus pandemic managed in just a few weeks to put an end to the longest bull market in history, cryptocurrencies have fallen dramatically. The drop happened in just 24 hours, and, at that time, $93.5 billion in total market capitalization were wiped off. At that time, Bitcoin was trading at $4,000, being at the lowest level since May 2019, meaning a 48% crash in the price. All the other cryptos had the same fate - Ethereum, Bitcoin Cash.
These days, Bitcoin went up 10% trading at $6,569, according to Coindesk. The other cryptos followed suit, Ethereum going up more than 7%, and Ripple going up more than 5%.
“We’re seeing some really bullish bitcoin price action along with other asset classes after the Fed announced unprecedented measures yesterday to shore up the economy,” Vijay Ayyar, head of business development at cryptocurrency exchange Luno, told CNBC by email. “This has given a lot of confidence to investors.”
As seen on Coinmarketcap.com, the value of the cryptocurrency market went up by $14 Billion only in 24h to a total value of around $182.62 Billion.
Despite the market being in a pickle, there are still some optimists who think Bitcoin will reach $250, 000, such as Brendan Blumer, the founder and CEO of EOS, who believes that it is just a matter of time before Bitcoin hits the levels at $250,000: “BTC is on track to reach those levels with nothing but time. No existential financial collapse needed.”
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Sources: businessinsider.com, cnbc.com, coinmarketcap.com, coindesk.com, fxstreet.com
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