According to a Chainalysis report, bitcoin payments made on the darknet declined substantially in the last month as the leading cryptocurrency witnessed massive swings in the midst of the global pandemic. However, merchant services on darknet remain relatively resilient to price swings.
Dark market activities show a high correlation to bitcoin’s price.
Earlier Chainalysis report showed that dark market activities do not have an effect on the short term price of bitcoin, but according to the latest report, dark market activities show a high correlation to bitcoin’s price like never before. The co-relation between dark market activities and bitcoin’s price right now could be due to a number of factors, according to the report. One of the factors could be that drug vendors are not able to sell because trafficking organizations are having a hard time sourcing material due to the global pandemic.
Bitcoin surges over 5% in the last 24-hours.
At the time of writing, the price of bitcoin is trading at just above $6,600, up nearly 5.4% in the last 24 hours. The surge came after bitcoin witnessed one of the worst months since 2013. However, the price of bitcoin is still not out of danger yet. The short term prediction for bitcoin is still bearish amid the global pandemic. Financial markets all over the world are also looking bearish as the coronavirus outbreak continues to put the world on halt.