Expert Chaslau Koniukh
  • Companies
  • Global investment
  • Investors
  • Terminology
  • Economy
  • Stock Market
  • World exchanges
  • Tech and Marketing
second wave of contagion
Stock Market

How the second wave of contagion will affect the cost of the cryptocurrency

27.02.2021
2 min read

How likely is a second wave of contagion and its impact on assets

The world is facing hard times. The global decline in demand, economic crises, the second wave of contagion and strained relations between countries are negatively affecting stock markets. The cost of cryptocurrency is also suffering, and it is important to understand how it will change in the course of events.
The coronavirus pandemic has collapsed financial markets, world indices and shares of large corporations have slipped. Following them, the cryptocurrency also became cheaper, which showed a close correlation of electronic money with traditional assets.
After the March collapse, the markets recovered slightly, the S&P500 index rose to 3000 points after falling to 2200. Bitcoin’s business is even better. In March, it fell to $3,800, and in less than 2 months it recovered to its previous level of $8,000, now the price of the main digital currency is $9200.
However, experts are quite skeptical about such market success. They are afraid that the second wave of contagion will again lead to large-scale collapses. Already recorded strong outbreaks in the U.S., the number of diseased has exceeded record highs, Beijing introduces a state of emergency due to new cases of Covid-19. Schools and kindergartens have been closed again, and people have been asked to maintain a regime of self-isolation.
If the situation worsens, one can expect changes in the cryptocurrency market. At the same time, stock exchanges will be the first to react – shares will become cheaper, and after that the quotes of electronic assets will decrease. And if at the beginning of the year it took time for investors to react to the situation correctly, now they will start acting proactively and it is possible to withdraw capital before the quarantine measures are officially announced. Experts say that some participants are already considering the emergence of a new wave of Covid-19, and are trying to save cash. This is confirmed by the correction data, which has been fixed in the markets for some time. Bitcoin for the week showed a decline of 10%, and its value is 9050 dollars. Futures on the S&P500 index, which also fell by 8%, fell to 2960 points.

second wave of contagion

Analysts are also considering a possible decline in oil and commodities quotations. It is likely that Bitcoin will start to lose value following the stock markets, as it was already in March and April.
And a new outbreak may turn out to be more serious than it was before, so investors are clearly monitoring the situation in order to respond quickly and change their strategy.
Despite its dependence on the stock market, the cryptocurrency may also behave differently from the rest of the conjuncture, which makes it a profitable asset in an investor’s portfolio. Electronic money protects against the risk of inflation and economic shocks.

Tags: Stock Market
0
Previous Post How China's economic recovery is going: a review of the processes Next Post BKS Broker: the best currency for savings

You Might Also Like

atai life sciences
Stock Market
Startup ATAI Life Sciences plans an IPO
23.01.2022
fall in stocks
Stock Market
Wall Street: We should expect stocks to fall in the first half of 2023
01.04.2023
Bank of England
Stock Market
Bank of England announced the purchase of government bonds
24.11.2022
Yahoo
Stock Market
Search engine Yahoo acquired a 25% stake in the advertising company Taboola
12.02.2023
outflow of capital
Stock Market
There is a record outflow of capital in the bond market
28.09.2022
green bonds
Stock Market
H&M issues €500 million worth of green bonds
14.11.2021

Recent Posts

  • 1Mary Erdoes
    Mary Erdoes: the most powerful woman on Wall Street
    02.06.2023
  • 2Pilatus Aircraft
    Pilatus Aircraft: the history of the Swiss aircraft manufacturer
    01.06.2023
  • 3investment triangle to select a particular asset
    Investment triangle: how to choose the best asset for investment
    31.05.2023
  • 4Nissan and Renault
    Nissan and Renault invest $600 million in a joint venture
    30.05.2023
  • 5Noventiq
    Noventiq plans to float on the Nasdaq exchange
    29.05.2023

Popular Posts

  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Skolkovo analysts: the Russian energy market is suffering losses
  • Rise in gold prices: reasons for increased interest in the metal

Social media

Editor's Picks

Chaslau Koniukh
Analytics

American bankers from JPMorgan and Goldman Sachs advise to invest in gold: review by Chaslau Koniukh.

Spokesperson
17.08.2020
Expert Chaslau Koniukh
Analytics

Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Spokesperson
18.06.2020
expert Chaslau Koniukh
Analytics

Chaslau Koniukh: Internet trade market in Russia may reach 2.78 trillion rubles.

Spokesperson
30.05.2020
Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh
Analytics

Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh

Spokesperson
16.05.2020

Latest Posts

inflation in the UK
Inflation in the UK will decline: analysts’ forecasts
03.06.2023
Mary Erdoes
Mary Erdoes: the most powerful woman on Wall Street
02.06.2023
Pilatus Aircraft
Pilatus Aircraft: the history of the Swiss aircraft manufacturer
01.06.2023

Chaslau Koniukh

Expert Chaslau Koniukh

Chaslau Koniukh – an expert in marketing and project management, IT consulting, international investments, investor, financial analyst. A commodity trader, private consultant, entrepreneur, lecturer, author of several articles on the stock market.

Popular Posts

  • Businessman Chuck Feeney: the man who gave the world Duty Free
  • Field of activity of the American Monsanto Company Corporation
  • Skolkovo analysts: the Russian energy market is suffering losses
  • Rise in gold prices: reasons for increased interest in the metal
  • How the Frankfurt Exchange Deutsche Börse works
Expert Chaslau Koniukh
  • Facebook
  • Twitter
  • Instagram
  • Biography

Chaslau Koniukh – an expert in marketing and project management, international investments, financial analyst.

Social media

Menu

  • Biography
  • Companies and corporations
  • Global investment
  • Investors and Entrepreneurs
  • Economy
  • Market terminology
  • Stock Market
  • World exchanges
  • Tech and Marketing
  • Analytics