The reason behind the downfall of Bitcoin is the majority of the people who invested for short-term have already sold their BTC to buy things, I think corona is also a valid reason for this downfall. You are not allowed to work, not allowed to buy food stuff and not supposed to cash out money due to government restrictions, then howcome people will survive???
They want to sell their savings and want to make use of it in this tough situation also we cannot blame them as everyone are running out of money... It's a global crisis where everyone need to understand and move on according to that.
Topic: COVID-19 - The major reason for the current fall of Bitcoin - page 2. (Read 477 times)
People have been saying for years that Bitcoin is a store of value and compare it to gold (up to call it the 'digital gold'). Now that the pandemic has begun, it's starting to show the opposite. With ETH and oil, they're taking over the worst investments place since the crisis began.
-35% and -50% in the first trimester. Super! And the best is we're only at the beginning, I won't be surprised if we see BTC under $4000.
The first real crisis Bitcoin meets and as we can see it's not doing so well as expected
On the other side, Gold, labeled as a store of value, didn't move since as you can see on the graph, and Index, equity ETF, and commodity are doing better than BTC/ETH.
Store of value! People have bought this story for years, well I guess they will learn the reality the hard way, as we say. Now they rely on the central bank to see them printing money xD.
We don't even hear about Halving anymore, by the way...
People are always stupid, we elected a present to manage the government to make law that people will follow, if people are not following the law, they should be penalized, this is due to the lack of action of our government, they need to mobilize the military to arrest people violating, advise alone is not enough, it should be a strict order that everyone has to abide with it.
Where's the bitcoiner's people in the picture?? they are not stupid, they stay at home looking for the best timing to accumulate at dip.
Bitcoin is falling only because of the stupid people (as shown below) or by people panic as Covid19 has nothing to do with bitcoins.
Where's the bitcoiner's people in the picture?? they are not stupid, they stay at home looking for the best timing to accumulate at dip.
Bitcoin is falling only because of the stupid people (as shown below) or by people panic as Covid19 has nothing to do with bitcoins.
The reason for the sudden dump, but compared to the current price now, I think bitcoin has quite recovered already.
A major dump is not new to bitcoin, in fact it has died many times but it has only recovered, so just think positive all the time that bitcoin is gonna bounce back.
A major dump is not new to bitcoin, in fact it has died many times but it has only recovered, so just think positive all the time that bitcoin is gonna bounce back.
I would agree that Bitcoin is so resilient that it was able to recover many times, many anti-Bitcoin says that it has died many time already. But we have to consider that this is the first time that a pandemic occur, and panic sellers reacted negatively.
It's not time to panic now, it's time to be strong and good thing bitcoin is quite impressive now, it does not pump but it's holding its price.
This is already enough for investors to trust bitcoin at this very tough times for everyone of us.
This is already enough for investors to trust bitcoin at this very tough times for everyone of us.
But since it has bounce back already, many have learnt their hard lessons, not to panic. Yes, there is a looming recession because of the pandemic, but we all know that Bitcoin have withstood many challenges in the past and we are going to survived again and see the price moving up in the five digit figures.
This is really whats happening as of this moment where people do get prioritize into things that would able for them to survive even pulling out their investments that they have kept for so long.
This scenario was expecting due to the pandemic result and rumors were right that this pandemic has an impact on the traditional market and crypto market. So meaning, the crypto market was now tied up to the traditional market just because investors are in a panic too and hurrying to pull out their investment to buy the necessary things for the worldwide lockdown.However, I'm still glad that Bitcoin shows improvement last week and it reached at least almost $7k price in the market. There is also an article on Cointelegraph that Crypto Traders Explain What Caused the Bitcoin Price Plunge to $3,000s.
Economy is down.
There is no work. Even if you want to, the company and the government won't let you.
But you will need to survive for that span of time.
So what do you do when given a chance to go out once a week.
You cash out some of your savings and that includes bitcoin.
You buy products that could make you survive for the week and then do it again the next week.
No money is coming in to buy back that bitcoin you sold so what is next? You sell again.
That could be one reason but that is not everything. Some holders are still sticking to the long term plan.
This is really whats happening as of this moment where people do get prioritize into things that would able for them to survive even pulling out their investments that they have kept for so long.There is no work. Even if you want to, the company and the government won't let you.
But you will need to survive for that span of time.
So what do you do when given a chance to go out once a week.
You cash out some of your savings and that includes bitcoin.
You buy products that could make you survive for the week and then do it again the next week.
No money is coming in to buy back that bitcoin you sold so what is next? You sell again.
That could be one reason but that is not everything. Some holders are still sticking to the long term plan.
We have seen that not only crypto but also stocks forex and other markets are on reds now which is understandable or no brainer for you to consider on whats happening and whats being prioritize by the people right now which is to survive.This isnt the right time for people to mind business or making money but there are still people who do take advantage into this situation.
Talking about the major reason? This might be one of the reason but we cant conclude that this is the only thing yet we know that there are lots of factors that do affect
markets globally.
They say that this one was the starter of the fall.
--> https://cointelegraph.com/news/bitcoins-plunge-due-to-traditional-markets-falling-or-plustoken-dumping
--> https://cointelegraph.com/news/bitcoins-plunge-due-to-traditional-markets-falling-or-plustoken-dumping
The reason for the sudden dump, but compared to the current price now, I think bitcoin has quite recovered already.
A major dump is not new to bitcoin, in fact it has died many times but it has only recovered, so just think positive all the time that bitcoin is gonna bounce back.
It's not time to panic now, it's time to be strong and good thing bitcoin is quite impressive now, it does not pump but it's holding its price.
This is already enough for investors to trust bitcoin at this very tough times for everyone of us.
A major dump is not new to bitcoin, in fact it has died many times but it has only recovered, so just think positive all the time that bitcoin is gonna bounce back.
It's not time to panic now, it's time to be strong and good thing bitcoin is quite impressive now, it does not pump but it's holding its price.
This is already enough for investors to trust bitcoin at this very tough times for everyone of us.
Economy is down.
There is no work. Even if you want to, the company and the government won't let you.
But you will need to survive for that span of time.
So what do you do when given a chance to go out once a week.
You cash out some of your savings and that includes bitcoin.
You buy products that could make you survive for the week and then do it again the next week.
No money is coming in to buy back that bitcoin you sold so what is next? You sell again.
That could be one reason but that is not everything. Some holders are still sticking to the long term plan.
There is no work. Even if you want to, the company and the government won't let you.
But you will need to survive for that span of time.
So what do you do when given a chance to go out once a week.
You cash out some of your savings and that includes bitcoin.
You buy products that could make you survive for the week and then do it again the next week.
No money is coming in to buy back that bitcoin you sold so what is next? You sell again.
That could be one reason but that is not everything. Some holders are still sticking to the long term plan.
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.
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.
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.
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.
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.
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.
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.
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.
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.
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. Want to hear your point Of view.
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.
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.
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.
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.
Jump to: