The COVID-pandemic hasn’t just claimed numerous lives. It also turned the entire financial world upside down, cryptocurrency inclusive. The cryptocurrency, bitcoin, experienced a 9 percent drop. But before the outbreak, bitcoin has been enjoying a good year. It even reached $10k. However, as soon as the novel virus struck, the price of the Crypto followed the trend.
Post-COVID-19: What will happen to the world economy?
A lot is happening at the moment. Countries have shut down their economies to focus on the fight against the novel virus. People are feeling more and more confused at the moment, and you can’t blame them. Everyone is in the dark regarding when the pandemic would end.
Many health workers and individuals hit by the virus have lost their lives. The numbers are overwhelming. Now, what would happen in the post-COVID-19 era? Your guess is as good as mine.
Firstly, the world economy will struggle to recover. That’s the reality on the ground. Every country will face challenges trying to make their economies bounce back, whether they were able to contain the virus or were severely affected by it.
What will be the fate of cryptocurrency? The answer is, Crypto will have the upper hand.
The financial reality
We have seen how vulnerable stocks and currencies are. It will difficult trying to get the economy back on track with the currencies we currently have. Cryptocurrency can prove to be more reliable and a better alternative than its fiat counterparts. One of the reasons is its ability to bounce back much faster, including its unique structure.
Investors, including users of cryptocurrencies like Bitcoin and Etherum, believe something good lies ahead for these digital currencies. Those who doubted the technology are beginning to reconsider it as a viable option.
There are diverse reasons Crypto will continue to rise pre and post-COVID-19. More and more businesses are opening their doors to this technology. Thus, it won’t be long before a majority of companies around the world adopts it as payment. Many had already started using it, even before the novel virus struck.
Opportunities for Crypto
There is a diverse window of opportunities for cryptocurrency, particularly bitcoin, to flourish. So, acquiring more of it now will make sense. Cash handling is a big concern around the globe. And with Crypto, particularly bitcoin, proving to be a more reliable digital currency, there is hope the government may turn their attention to it
So what is your take? Will cryptocurrency recover from the current dip induced by the COVID-19 pandemic? Do you think the government will turn its attention to crypto post-COVID-19?