Has Coronavirus Influenced the Cryptocurrency Market?

Updated on August 27, 2020

Since March 2020, the whole world has been forced to stop, go home and monitor their health as much as possible, so healthcare app development became more popular. Most businesses, shops, shopping centers, hairdressers, gyms, and so on were closed, that is, almost all the places that usually provided people with active pastime. Roughly speaking, people, and especially those who for some reason sat at home alone, had only one option left – to spend their time online.

People ordered groceries online, watched movies on Netflix, talked to loved ones via video, and tried to find some kind of source of income online like free Forex signals because no one knew when the opportunity to go to work would appear.

Since recent years have shown how popular and convenient cryptocurrency is both in terms of earning and as a payment method, many people wanted to try themselves in trading. That is, the first point – the pandemic has raised the popularity of cryptocurrency, and even more new traders have joined the ranks. Some really wanted to make money, and some were just killing time this way.

Again, new traders did not invest hundreds of thousands of dollars in the crypto, so they could not influence the rise or fall of the coins. But some big investors have definitely contributed to the cryptocurrency. And here, unfortunately, there were no positive influences. Since most large-scale companies have closed, many investors, for fear of losing money, not only did not invest it anywhere but also withdrawn what was invested before. 

It was such actions that provoked a sharp drop in Bitcoin, which added fears to traders and investors, and, as we mentioned above, investments did not stop for a while, but significantly decreased. 

When can we expect them to resume?

If we talk about a smooth resumption, then we are already seeing this. Compared to March-April 2020, people are now ready to invest 4-5 times more. But, again, this does not carry large amounts of money – a maximum of about 5 thousand dollars. 

What happens to large investments?

Everything is much more complicated here. Large investments will not resume until the active recovery of the economies of many countries, which, as you probably know, has been hit hard, resumes.

It’s time to end with pessimism and return to those positive moments that the cryptocurrency market is currently experiencing. 

Above we have already talked about cryptocurrency as a means of payment and that it is quite convenient. Firstly, you don’t need to go anywhere – all transactions can be made from your bitcoin wallet. Secondly, the best Bitcoin wallets charge very low fees.

During quarantine, many services introduced the ability to pay for purchases or services using cryptocurrency. Of course, this does not apply to all countries – some still have not recognized cryptocurrency as a convenient form of digital assets.

So, as you can see, there are so many different factors that determine the popularity and future of cryptocurrency. Of course, new traders and popularity are very good, but large investments are shaping this market, and without them, it is too early to say that cryptocurrency has become indispensable. 

The Editorial Team at Healthcare Business Today is made up of skilled healthcare writers and experts, led by our managing editor, Daniel Casciato, who has over 25 years of experience in healthcare writing. Since 1998, we have produced compelling and informative content for numerous publications, establishing ourselves as a trusted resource for health and wellness information. We offer readers access to fresh health, medicine, science, and technology developments and the latest in patient news, emphasizing how these developments affect our lives.