How Coronavirus Crisis Impacts Cryptocurrencies and Blockchain

The new coronavirus nCoV-2019/SARS-CoV-2 has already affected many industries and professional fields. People are losing their jobs or they are on unpaid leave until the crisis ends. Many businesses, especially private ones, are losing money and can’t pay the employees. The pandemic situation is bad for everyone, especially for those who are infected and need to stay in a hospital. There is nothing we can do, except to be responsible and to stay home, so we can stop the coronavirus spreading.

One of the fields that are somehow affected is the cryptocurrencies job and blockchain technologies. In the last days of March, there were reports that the global crypto market crashed, but also, there was a new crypto-coin named CoronaCoin. Its value rises as the COVID-19 spreads around the people.

Those who are into this business, used the crisis time to create and develop a new cryptocurrency, and the rate of CoronaCoin compared to the real currencies and virtual ones depend on the number of people who are infected with this virus.

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What happens in the cryptocurrencies world now?

Many events related to Bitcoins and other independent virtual currencies are canceled or postponed for later this year. But, since we don’t know how the situation will be in the future, crypto investors advise the people to avoid CoronaCoin, because it develops really quick but its value will decline at the moment the world will be able to control the coronavirus pandemic.

In these times of global crisis, you should avoid all of the suspicious ways of crypto trading and use only trusted services, such as bitcoinscircuit, so you can avoid any chance for scam od phishing.

How does CoronaCoin work?

According to the available information, the value of CoronaCoin is changing every 24 or 48 hours and is based on the number of infected people and the number of people who died because of the coronavirus. The developers of the new cryptocurrency say that their rivals want to crash the value of the CoronaCoin, so they can save Bitcoin and other popular currencies. The traders need to bet on the results of the pandemic using tokens, so they can later trade the money.

Sadly, the number of ill people rises every day, in different parts of the world. The World Health Organization warns us that the situation is very serious and that there is no place for games. But, when it comes to CoronaCoin, it’s obvious that it won’t last long and the value will fall as the world fights successfully against the coronavirus.

When did the crypto market start falling?

This March, the Bitcoin’s value fell the first time since May 2019. We still don’t know the exact reason why it happened, but it’s possible that the crypto investors panicked and started to trade their cryptocurrencies, and to buy real money with them or to trade for gold. But as time passes by, the experts believe that the crypto market will be restored.

For example, Bitcoin fell by 25%, Ethereum by more than 25% this March, Litecoin by 23% and it’s believed that the value of the whole market lost at least $170 billion, as some reports and analysis show.

The new coronavirus caused panic in global finances, including cryptocurrencies, especially on the day when the World Health Organization announced that the virus spread to become a pandemic. The investors tried to adapt to the situation, but they also were aware that they should protect some of the crypto money from a crash and traded them for gold and money. But, this industry didn’t stop during the pandemic. They are pretty alive and wait for the situation to calm down, so they can continue. We can say that the blockchain has a turbulent period, but sure it will be back again, maybe even stronger than before.

What do we know about the new coronavirus?

The new coronavirus was first named nCoV-2019, when it was pretty unknown for the world. But later was discovered that it causes acute respiratory problems and now it’s known as SARS-CoV-2 (Severe Acute Respiratory Syndrome Coronavirus 2). The outbreak started in the Chinese town of Wuhan in the Hubei Province. On 11 March 2024, it was recognized as a pandemic.

There are more than 1.33 million active cases all around the world. More than 275,000 people recovered from the COVID-19 (coronavirus disease 2019), but there are at least 73,900 people that died.

The most common symptoms are dry cough, fever, and shortness of breath. It causes respiratory problems and pneumonia, and there is no primary antiviral treatment for the disease, so depending on the case, the doctors are using symptomatic and supportive therapy. The virus can be easily spread through the infected droplets produced by sneezing, coughing and talking, but also with close contacts and touching the eyes, the nose and the mouth with dirty hands.

The global pandemic caused many social and economic problems, cancellation of many events, closing whole industries, layoffs, universities, and schools are also closed, teachers are teaching online and almost every type of traveling is forbidden (there are some exceptions, following the WHO’s rules and recommendations).

Because the virus is new, no one, even the most competent doctors, don’t know when the pandemic will end. This situation affected many industries and the crypto market is not an exception. But, it depends on us and our discipline when this pandemic will end. There will be a lot of problems after the crisis, especially from an economic nature. But, let’s hope that the number of sick people will stop rising and that there will be no more deaths. Healthy people are the key to a healthy economy and a stable society, so we are responsible to give everything we can, to save ourselves from this new virus.

After all these ends, the cryptocurrencies will again grow their value and the market will be available for all of those who are interested to invest in it. Until then, you should carefully follow the situation, so you can avoid big losses.

Stay home and wash your hands regularly!