What will happen to cryptocurrency after the end of the coronavirus pandemic?
To date, the Bitcoin exchange rate barely exceeds the mark of 7,000 US dollars. However, many argue that against the backdrop of a pandemic situation, the world’s first cryptocurrency may become one of the most stable assets. Accordingly, in this case, the cost of bitcoin will increase sharply. Based on the foregoing, we can conclude that the current situation is most favorable for investing in mining. Despite some instability, it is most profitable to invest in digital currencies during the coronavirus period.
This information is confirmed not only by simple traders, but also by true experts of the digital market. Omkar Godbowle, an analyst, suggested that the price of a bitcoin token would rise to $ 8,000 shortly. He also stressed that the growth of the first cryptocurrency in the world will not end there. In the analytical report of the BitMEX Research exchange, information is provided that, in connection with the pandemic situation, the current system of the economy is not able to survive the next crisis situation. This means that it must give way to another, most adapted instrument.
Active debate is underway about whether Bitcoin can still get the status of “digital gold”. An interesting fact: as of April 16, requests to “buy Bitcoin” and “buy gold” are almost equally popular among users.
In the wake of hype, Bitcoin will not grow until halving. This means that its value will go up immediately after cutting the reward. Such growth is more natural, as the situation described above will cause a coin shortage. In other words, a digital currency does not expect a premature transition to an overbought state. This leaves a serious space for future growth.
Coronavirus caused the need for changes in the work of such market processes, which for many are well-established. This also applies to cryptosphere tools. The pandemic has covered most of the countries of the globe, which puts severe tests both the world economic market and many other industries. If the crypto industry confirms its resilience in this time period, then there is every chance of its subsequent transformation into a global, wealthy and strong economic sphere.
If you move a little away from Bitcoin and talk about cryptocurrency markets in general, then the following points can be highlighted:
1. There is a chance that mining will suffer. During the pandemic, a problem arose with the shipment of new batches of special purpose integrated circuits. In China, this problem is reflected more strongly than in other states. Ultimately, this can lead to the fact that small players in the cryptocurrency market will become bankrupt. They do not have the necessary margin of safety, which they will not be able to make up because of the problem of updating equipment.
2. New cryptocurrency projects may be frozen. In these circumstances, many companies have to carry out their activities remotely. And even if this is enough for the functioning, the development of new ideas and their implementation requires intensive teamwork. Large-scale blockchain events are postponed indefinitely, which is also a serious blow to the crypto industry. If the pandemic situation is not resolved, then they can even postpone the release of the acclaimed Ethereum 2.0.
3. Damage caused to Chinese mining can give impetus to the development of pools in other states. Thanks to this, the network will become more secure and strengthen its decentralized nature. A significant percentage of players leaving the market and problems with unloading new shipments of equipment will lead to a serious decrease in capacity. It follows that in the summer of this year, mining of many cryptocurrencies will still be profitable.
How it all ends, only time will tell. Any predictions, as can be seen in recent months, are just fortune telling on coffee grounds. This also applies to forecasts for the epidemic in general, and its impact on the cryptocurrency market in particular. But no matter how the situation develops and how it ends, you can always get the most profitable cryptocurrency exchange rates on Newline. Online Come more often!