The price of bitcoin has been highly volatile during the last few weeks as the leading cryptocurrency witnessed massive swings. Bitcoin has also reacted in accordance with traditional markets around the world as the latest downside move to nearly $6,100 coincided with the drop in American financial markets.
Bitcoin is likely to drop further in the coming days.
As the COVID 19 continues to spread around the world, its impact on the lives of people is mounting up rapidly. The unemployment rate in the United States and Europe is going up quite fast. The financial markets around the world are plunging despite governments’ efforts as the Dow closed with a 915 point loss, the S&P 500 pulled back 3.37%, and the Nasdaq was down 3.79%. Its impact on the bitcoin can also be seen clearly as its price dropped nearly 8% in the last 24 hours.
Over 100,000 positive COVID 19 cases in the United States
The USA has reported over 100,000 positive COVID 19 cases in the country, with over 1700 deaths. The global pandemic has put the whole world on a pause as the economy continues to crash, and people continue to lose their jobs with no silver lining on the horizon. The financial impact of this unprecedented global pandemic is quite serious as well. Despite several stimulus packages announced by the government, financial markets have failed to revive in the midst of the global pandemic.