The Power Of Human Panic: Massive Bitcoin Retreat Amidst Global Financial Crisis And Coronavirus Chaos
The new coronavirus is tearing the whole world apart, and even if the virus itself might not be that dangerous to most people, its effects on the global economy will probably be devastating, according to more analysts.
Brian Armstrong, the CEO of crypto exchange Coinbase, said that he’s surprised by Bitcoin’s huge retreat amidst the global financial meltdown.
Brian Armstrong believe that Bitcoin would rise as the rest of the markets fall
He said that he would have bet that Bitcoin would be rising as the fallout from the coronavirus outbreak continues.
“Surprised we’re seeing the Bitcoin price fall in this environment, would have expected the opposite,” Armstrong explained.
The truth is that crypto fans have seen BTC as a digital gold form that could have the ability to survive this economic crisis that we are going through due to coronavirus.
The current downturn which led to the fall of the stock market, is also testing the crypto market.
John Bollinger is disappointed in Bitcoin’s performance
John Bollinger is the developer of the technical analysis tool called Bollinger Bands – he recently said that he’s disappointed by BTC’s performance as a supposed hedge.
Just like many analysts, he was expecting to see BTC acting as a safe haven. Lots of analysts were shocked to see the crypto falling this much in price.
“Bitcoin falls victim to the COVID-19 panic. I truly did not see that coming, I thought it might act as a safe haven asset,” he said as cited by the online publication the Daily Hodl.
They also mention Bloomberg business editor Joe Weisenthal who explained that he’s not at all surprised by the Bitcoin crash. He believes that human panic is something very powerful.
“When people are panicking, they liquidate anything in sight, so they can pay their fiat-denominated bills.”
You should head over to the original article in order to check out more expert opinions about what’s happening.
At the moment of writing this article, Bitcoin is trading in the red, and the most important crypto in the market is priced at $7,399.48.
Brian Armstrong is the co-founder and CEO of Coinbase, one of the largest crypto exchanges in the world (its reported Coinbase holds 966,230 Bitcoin ($7B) in Cold Wallet). Prior to his involvement with the blockchain and Coinbase, Armstrong worked at Deloitte and Touche as an Enterprise Risk Management Consultant.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Coinbase is a digital currency exchange headquartered in San Francisco, California.
Eduard Watson Author
An experienced finance writer for more than 10 years, active industry watcher, and gadget enthusiast.