This Safe Haven Asset Could Be Stronger Than Bitcoin Amidst The Coronavirus Pandemic
The crypto market looks pretty bloody today, and all the digital assets are trading in the red.
The cryptos are struggling to recover following the recent massive price drops that Bitcoin witnessed due to the coronavirus outbreak and more factors.
Some analysts remain optimistic and claim that the price of the digital asset will surge again significantly in two months around the halving event, which is scheduled for May.
Others are not that positive, and they say that we should expect more substantial price drops in the crypto market because the disaster is only beginning.
At the moment of writing this article, Bitcoin is trading in the red, and the most important coin out there is priced at $5,281.98.
A better safe-haven asset than BTC and gold?
It’s been just revealed that market analyst Joe Saz says that right now, there’s a better safe-haven asset than both Bitcoin (BTC) and gold that we should be keeping an eye for.
Saz talks about a scenario in which people are panicking about their very survival, and he says that true safe-haven assets are becoming the bare necessities that can ensure people remain alive and well.
“Consumers are pulling money out of stocks and such to buy things that they think are more essential needs now. I think that’s what consumers are doing right now: doomsday prepping essentially. That’s caused an impact on our overall view of what’s a safe haven and what isn’t,” he said as cited by the online publication the Daily Hodl.
"I think there might be a situation here where people are looking for the shovels and not quite the gold" – @Joe_Saz
— BLOCKTV (@BLOCKTVnews) March 10, 2020
He continued and explained, “Is a stock really a safe-haven asset if the world is in a global epidemic and supply chains are shut down? Or, is food a safe-haven asset? I would argue obviously that food is your better bet, and I think a lot of people are, too. So I have a feeling that’s where money is transferring to.”
He also explained that Bitcoin is a safe haven asset as well, and the only problem is that people might not be ready for it yet.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Eduard Watson Author
An experienced finance writer for more than 10 years, active industry watcher, and gadget enthusiast.