As the COVID 19 continues to spread exponentially in Europe, the impact was evident in the stock markets. Stoxx600 plunged 4.5% in early trade today morning. Global financial markets start this week as the novel coronavirus continues to spread in countries all over the world.
Bitcoin is not immune to the coronavirus pandemic.
The novel coronavirus has caused over 14,000 deaths all over the world as the number continues to increase each day exponentially. The financial markets are in shambles all over the world as governments continue to announce massive stimulus packages to revive the economy. Even though bitcoin is claimed to be a safe haven in the times of financial crisis, but the price of the leading cryptocurrency has also plunged over the last few weeks.
Bitcoin is likely to crash in the short-term.
As we witnessed during the last two weeks, bitcoin is not immune to the global pandemic and has not decoupled from the traditional markets. At the time of writing, the leading cryptocurrency is changing hands at just below the $5,800 mark. In the short term, the price is expected to dive below the $5,000 mark. Other major cryptocurrencies are also likely to follow the lead of bitcoin and retrace substantially over the next few weeks.