Increasing scope of crypto trading during pandemic
By Agency | February 20th 2021
During the rise of the value of Bitcoin, people started to talk about what affects the ongoing global pandemic has on its value especially when the virus was at its peak. The value of Bitcoin increased approximately $10,000 during February, a month into the pandemic. Many specialists and analysts have concluded that the price of Bitcoin will increase with the spreading of the virus, the reason being that more and more people are shifting to crypto trading and investment rather than any traditional currencies.
To maintain the value of Bitcoin, there is only a limited amount of bitcoin available to be mined, unlike traditional currencies. The blockchain system has been set to work in such a way that there will always be a finite number of bitcoin in the market. This leads to lower chances of any economic crisis, in this case, it has also limited the negative impact of the coronavirus on the worth of this digital form of currency.
The Impact of COVID-19 on the Crypto Market
Way before the start of the virus, there were many on-going discussions about how Bitcoin can become a haven for the business community. This discussion rooted in the time during the geopolitical tensions which had boosted the value of bitcoin for a short period. Many specialists and observers have used this as evidence that bitcoin can be a safe investment option, and beyond that as well. It is proving to be a breakthrough for the developing countries, which are facing extreme financial constraints because of the ongoing circumstances.
Halving is a law that makes use of the idea that the worth of the network is dependent on its size. In this case, the network is being referred to as either Bitcoin or any other type of crypto. Hence, bitcoin is an asset that is different from all others, what makes it different is the fact that it’s an alternative with more predictability and greater security and offers a safer investment assurance to those who might impose interest in wanting to invest in bitcoin during such difficult and troubling times
Bitcoin saw an extreme increase in worth back in 2017 when its early investors were able to make thousands and millions of dollars in profit. However, back then financial experts and analysts criticized the new concept and termed it as a financial bubble that will soon burst. But, over the years it has proven its worth and relevance to the global economic structure, and today the perception has been changed. Many investors and analysts are now adamant that bitcoin will not be leaving anytime soon.
As the interest and faith of people in bitcoin keep on increasing, it is more beneficial for its value. The reason is that more and more investors will hop on, and make it a more reliable and convenient platform. Bitcoin's many advantages such as the elimination of any third party, setting up a more practical form of transactions or payments make it feasible for the general public. Users can also acquire the services of trading applications, like the bitcoin lifestyle app to ensure a safe and secure trading environment.
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