Bitcoin loses safe haven status
Bitcoin loses safe haven status

Unfortunately, February was not the lucky month for bitcoin. In the first month of 2020, the most popular cryptocurrency was developing a steady bullish trend. However, in late February bitcoin reversed downwards. For the first time in the month, its price sank below the psychological level of $9,000 per token which is viewed as the important support. Bitcoin shed over 15% in the final week of February. Analysts have weighty arguments for pessimistic forecasts. It will hardly recover to the recent highs in the short term. Massive bitcoin selling spilled over to other digital currencies. As a result, according to Coinmarketcap’s estimates, the total capitalization of the crypto market has shrunk to $253.10 billion. The bitcoin dominance index is now measured at 63.05%. Interestingly, experts have discovered a new feature in the crypto market. Earlier, bitcoin used to be immune to global turbulence, so experts assigned it to the group of safe haven assets. Nowadays, bitcoin is losing ground amid global challenges. Besides, it was bruised by the comments of Warren Buffett. “Cryptocurrencies basically have no value and they don't produce anything,” the Berkshire Hathaway chief said recently. In terms of value: zero. I don’t have any cryptocurrency and I never will.” The legendary investor could be a little biased against cryptocurrencies. At the age of 89, the billionaire has not grasped the ins and outs of the blockchain technology.    

Published: 2020-03-12 10:09:59 UTC
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