The US - like most other countries in the world, has shut down most non-essential businesses and ordered its citizens to stay home in an effort to prevent the spread of Covid-19. When the time comes for US authorities to reopen, whether the price of Bitcoin (BTC) will be affected.
"Once US businesses are back in operation, the key factor to monitor BTC is how the stock market reacts, as Bitcoin has seen its correlation with stocks lately," Money Trader said. Electronic BigCheds told CoinTelegraph on April 15.
"Bitcoin will continue to trade in its own broader channel, but we need to keep in mind the correlation with recent stocks," BigCheds adds, referring to Bitcoin's different price action compared to the correlation. Its general relationship with the operation of traditional markets.
President Trump considered reopening the country
"Plans to reopen the country are about to be completed," President Trump said in a recent speech, according to FoxNews. reporting April 15. "That day is coming very close," Trump added, noting the various conditions and heading to a potential opening day before May 1.
Bitcoin and the mainstream markets have been hit hard in the past few weeks, despite recent days of recovery.
Trader and cryptocurrency influencer CryptoWendyO said she did not expect an immediate revival of the economy after the open businesses' return.
"This will be a waiting game as small and large businesses analyze the current market and decide how they will continue to do business," she told CoinTelegraph in an email on April 15. "It also depends on the local laws of the United States and the country, because they have to operate according to the rules."
Bitcoin may depend on employment and income
CryptoWendyO said Bitcoin's upward path depends on global economic conditions when businesses reopen. "I feel that many people are losing faith in governments and banks, which will make them discover Bitcoin," she said, adding:
However, if people do not have income, jobs and we enter another recession similar to 2008, then the price of Bitcoin may remain at its present value, because it is necessary to have buyers to create demand. bridge."
As an asset formed after the 2008 financial crisis, Bitcoin is located in undiscovered waters. Sometimes the price of this asset has moved independently of traditional markets, although there are times when it shows a correlation. Only time will tell if Bitcoin's future will turn into halving 2020, which will happen in less than a month.
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According to CoinTelegraph
Translated by ToiYeuBitcoin