RE: COVID19 is back ! And it will crash both Cryptocurrencies & Stock Market 😭

[solarwarrior]

Dear @vlemon,

I have a quite different perception.
1.) Stock market and crypto market are uncorrelated, crypto is more like gold than equites
2.) crypto depends on central bank action and a new outbreak could make central banks print even more money..
3.) crypto went down in march as did gold maybe because people had to sell to cover other losses.... and people did not have the experience before of how crypto will behave in a crisis situation... now they know
4.) In general a second outbreak will be seen as nothing really new.. people are more familiar with it now, not surprised any more and will adapt
5.) Vaccine and cure are closer with each passing day
6.) Having said this I would be surprised if crypto and stocks would not stay very volatile in the current situation or with a second outbreak and in general because we will have some very bad news coming from the economy... but who does not already calculate that in?

Comments

[crypto.piotr]

Thanks for dropping by and this birlliant comment buddy

[vlemon]

Hello there @solarwarrior,

1. I would believe from an academic point of view but it just isn' true in "reality" Stocks are correlated to Bitcoin and vice-versa, especially tech stocks 5cf last Daily Crypto News)
2. Agreeing 100% but this will play out in Medium Term Long Term in my opinion
3. Same thing could happen in a new crash right?
4. Also true but investors believe Coronavirus impact is OVER; whereas if outbreaks happen again, consumption and therefore employment and the economy will be impacted.
5. True but we never found one for many other new diseases (ebola or aids)
6. Agreeing also, volatility is going to increase again

Thank you for this great comment as @crypto.piotr mentionned :D