Crypto

Bitcoin’s Value is Likely to Decrease Further as Demand Dwindles due to the Coronavirus

There are many different opinions on whether Bitcoin should be considered a safe-haven asset or not. Cobra, the co-founder of Bitcoin.org, certainly doesn’t seem to be thinking along those lines.

Most Bitcoin enthusiasts are quite familiar with the name Cobra.

Bitcoin Isn’t a Safe-haven Asset, Cobra Claims

For better or worse, this individual often shares personal thoughts and opinions on all aspects of Bitcoin.

Recently, he explained why the world’s leading cryptocurrency shouldn’t be considered to be a safe-haven asset during the coronavirus.

It is a sentiment that many others share.

Bitcoin is anything but a stable asset, and certainly remains linked to traditional market momentum.

Cobra is convinced that cryptocurrencies are not a hedge against traditional finance.

Related Post

Nor will Bitcoin and other assets negate losses from a recession or stock market collapse.

In that regard, the coronavirus may have very negative effects on Bitcoin moving forward.

It is an asset that, according to Cobra, is primarily purchased when users have an excess of cash.

During the coronavirus crisis, that will be anything but the case.

As such, demand is likely to decrease, potentially driving prices down even further.

How the Bitcoin halving will factor into all of this, remains to be determined.

Even so, the coming months will undoubtedly get very interesting. 

JP Buntinx

JP Buntinx is a FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he aims to achieve the same level of respect in the FinTech sector.

Share
Published by
JP Buntinx

Recent Posts

Core Foundation Teams Up With Z Protocol To Expand Zcash

Core Foundation has just announced a new partnership with Z Protocol, and it’s already getting…

1 day ago

Binance Wallet Moves Into Prediction Markets With PredictFun Integration

Binance Wallet is quietly stepping into one of crypto’s fastest-growing sectors, prediction markets. According to…

1 day ago

CZ And Elon Musk Weigh In On Quantum Fears As Crypto Faces Uncertain But Inevitable Shift

As concerns around quantum computing and crypto security continue to build, Changpeng Zhao is stepping…

1 day ago

Bitmine Expands Ethereum Holdings With Massive Weekly Accumulation And Strengthens Position As A Major Crypto Treasury Player

Bitmine Immersion Technologies, led by Tom Lee, is continuing to build aggressively on its Ethereum…

2 days ago

Ethereum Foundation Quietly Stakes Over $46 Million In ETH

Something interesting just played out within the Ethereum space, and it didn’t take long before…

2 days ago

Ethereum Is Still Leading The Tokenized Assets Space

It’s becoming more obvious by the day that Ethereum is not slowing down anytime soon,…

3 days ago