Topic: Should the Crypto Community Be Worried About the Oil Crash? - page 2. (Read 436 times)

lol man seriously ? oil and crypto ?  this is silly but i heard some speculations before they say oil and crypto are connected but still it didnt convinced me   .  i only believe on my own    .   

cryptos are online while oil is offline   .  maybe oil have an impact on offline assets   and maybe oil can affect other offline stuffs   .  however i do believe that corona virus have something to do on the drop of the price  . add in the fact that china and south korea are the countries that are totally affected   . those countries are said to have a high number of crypto users .

We have a general panic in most of the markets. If we will see that this would turn into a global crisis - a serious one with drastic unemployment increase, then, of course, many individuals may be forced to sell their portfolio in order to support themselves (instead of increasing demand for cryptos). Still, if we have whales, one big transaction for 150 000 BTC has more influence on the market than 150 000 transactions for 1 BTC.

What we should be worried about are these hackers - such events are harmful to the image of the whole crypto community and are very likely to be an argument for increasing KYC, banning crypto mixers and increased control (indirect centralization) by authorities. This could end in the obligatory annual wallet ownership declaration and obligatory explanation regarding each crypto transfer to and from a particular wallet.

This actions from the market is more on doing an artificial movements, since halving is coming more and more big players are creating  dumped to form
a bearish run and let those weak holders to panic and sell out their holdings, it's all inside the crypto industry and not outside, so it's not something related with oil or any big assets that creates this fall.

The US sanctions were supposed to weaken Russia, but in fact it made Russia stronger. The Corona Virus has messed up a lot of global commerce. and this includes travel and transport, which has led to a reduction in demand for oil. OPEC tried to limit production to maintain the higher prices, but Russia has seen it as a chance to hit back at the US, so they refused. WTI is now trading at $31, and Russia's production costis around $20, so they are still making a profit. The US shale oil ( fracking ) production costs are around $72, so they are making a loss, and starting to default on loan interest payments. This will hit the derivatives market in the US, and has contributed to the drop in stock prices. This created a bear squeeze, and speculators are being forced to sell hard assets to cover their obligations. This accounts for the pause in the rise of gold and silver, and could be an explanation for the drop in the price of Bitcoin. One could take this as an indication that Bitcoin is becoming a hard asset, and this is bullish in the long term.

I'm watching the support levels, and waiting for the hockey stick rise that I believe will happen to gold, silver and Bitcoin some time this year.

I'm not a financial analyst, so check my statements before you make any investment decisions.

All should be worried about these things, not only the oil war but also the corona virus outbreak. Since a huge part of economy is relying on the oil we might face some difficulties with what's ongoing and will be going.

Sure thing it is, crypto market is rattled by these market, oil and stock on which I conclude to be the effect of the price movement downwards now. Global recession is possible but seeing the global stock market in Asia is still looking good unlike with the western part, China's stock market is still healthy however India is looking bad.

I think it's not just about crypto enthusiast that should be worried with the ongoing oil war.

I personally believed that everything is connected here, global stock market, crypto's and other form of investments such as gold and oil. One scary though, is that we might be closer to another global recession because of what is happening around the world.

No.The oil price crash is caused by a trade war between Saudi Arabia and Russia.They just can't negotiate a reduction of their oil production.If they manage the reduce the oil production,the oil prices will go up.This is a temporary situation.And no,cryptocurrency markets have nothing to do with oil prices.I don't think the crypto community should be worried about the oil market.Having lower oil prices is usually good for most countries that mostly import oil and for the global economy in general.

It has been a global problem and everything is crashing! Everything is affected by this virus not only crypto.

But I think we shouldn't be worried. The virus is somehow controlled now and the government is doing its best for it not to spread. Cross fingers that it really won't spread and I am sure everything will be back to normal again.

Most likely, it was the sale of 13,000 bitcoins that led to the current drop in the price of bitcoin, and not the coronavirus epidemic. Cryptocurrency, in particular trading on the stock exchange, can be dealt with without leaving your apartment. Therefore, the spread of coronavirus is unlikely to have so lowered the price of bitcoin.
We remember how the cryptocurrency market collapsed after Mr. Fox sold several batches of bitcoins at 8,000 in each lot. The release of a large number of bitcoins on the market usually lowers its price for a short time, after which it is usually restored. Today we see a decent increase in the price of bitcoin to $ 7,944. Therefore, I think that in the near future the growth of the cryptocurrency market will continue.

ask yourself this:
for the past 11 years do you know of even one case where bitcoin price was affected from any other market crashing or pumping? the answer is simply no. and 11 years is not a small time either. if bitcoin were to be affected by any of them then it should have shown something so far but it has never done that.
so why should things change now?!!

the only explanation i have for the current market state is a lot of panic sells with a strong manipulation.

Cornona pandemic is a new experience in the modern world and the whole world is in panic state.
This could be a reason but the sudden crash in bitcoin price is also being linked to the selling off of 13 thousand bitcoins (0.07% of total Bitcoins circulating supply) by the plustoken scam. Such large sell off would have a larger effect than the price on oil.
https://cointelegraph.com/news/bitcoin-drop-due-to-13k-btc-plustoken-scam-not-coronavirus-analysts/amp

To those who said Coronavirus outbreak will not affect the cryptocurrency market.

This is what has happened

Due to the outbreak the demand for crude oil has reduced significantly across the globe. In China it has declined by more than 20 percent. Since, the demand is low and the supply was unchanged two of the biggest supplier of crude oil globally, Russia and Saudi Arabia had a fight on reducing the production.

Since Russia opposed to Saudis request on reducing the production. The kindom country in oder to teach a lesson to Russia suddenly increased the production of crude oil, resulting the price to go down significantly.

This caused a ripple effect and the global market crashed. The effect of this crash can be also witnessed in crypto market as the price of Bitcoin went down by more than 10%.

Oil market is down to 30% happened in just a single day,

In the other side bitcoin is broken below 8000$  for the first time since January 10 from the market price of 10000$.


https://bitcoinist.com/should-the-crypto-community-be-worried-about-the-oil-market-crash/

FTFY

This is to be expected because of our current epidemic problem, with the Corona Virus. not only the Oil industry, more industries out there are crashing and losing some sales because of this epidemic. as for Bitcoin, I don't think they have some kind of connection. Because those two are from different pages.

All I could think about is how they will be connected industry-based? When the oil is used for energy, it's possible that it could be used for powering up the mining farms and it is somehow connected, so when oil prices go decreases, energy will be cheaper. More Bitcoin will be kept and saved in the miner's pockets. It could also be connected when they accept cryptocurrencies as their payment.

https://www.pymnts.com/blockchain/bitcoin/2020/plunge-in-oil-prices-triggers-crypto-sell-off/

It has some effects on the current situation that we have with the Covid-19. It can be a coincidence or not but it has something to do with this for sure.

Cheap oil=Cheap energy=Cheaper mining=Cheaper Bitcoin

We will all crash by the Corona virus. Corona may infect bitcoin then 

The virus might be the very reason why we have such prices in the market now but there is no data to prove that it really is. The economics for cryptocurrency is complex due to its volatility rate, nonetheless overcoming it would be nice and great for all of us.

I guess every market is rattling from oil to stocks and to crypto market due to the corona virus outbreak, we don't have anything to point here but the huge thing in front of us. Found out that the oil price crashed is the lowest since 1991 . Hurting the Russian economy is not the concern here, just remember that Russia is one of those who founded the OPEC alliance in 2106.

I think there is no relationship between the price of bitcoin and the price of oil. The price of oil, according to some analysts, is being affected by the coronavirus as demand decreases, and there was no agreement in OPEC regarding reducing production levels. In the case of bitcoin, the causes of its variation are generally not precise, and usually some of those possible causes are just speculation.
I believe, as has happened before, that the price of bitcoin and other cryptocurrencies will be counted in a short term. Now is the time to invest in them.