Huge Sale off in the Crytpcurrency market
A serious investors were going to sale off their cryptocurrency like Bitcoin and other top trend coins due to which the stable coins has got a large stake and there market cap has been raised with billions of dollars.
Reason for this unexpected growth in the stable coins was just the horrible conditions and the disaster created by the Corona virus.
lock down affect the investors
Corona virus has badly affecting the cryptocurrency market as like the stock market due to the complete lock down in the whole world,the trading is quickly affected.As in the last couple of weeks we have seen a huge drop in a bitcoin from dollar $9500 $4000.
Up some extent the oil prices plays a vital role on the the crash of the stock market and the cryptocurrency market because the sale of of the oil is very less as compared to the supply of the oil by the Saudi Arabia and the Russian so when the supply is higher than the demand so suddenly the price should be affected hardly.
Increase in stable-coins market cap value
The reason behind this stable coins growth in the market cap is the sudden sale of from the different high crypto currencies because investors do not want to take risk at this chronic condition.
People were thinking that the stock market will not having any effect on the crypto currency market but the stock market has set a very high record since 1987 this is the worst trading sessions after 33 years almost.
In my opinion gold is the only assets which was very safe for investors but it has been suffering also so by this extreme condition of unsuitability.
The stable-coin give a helping hand to the investors in this highly effected environment.The price pegged to USD is very beneficial this time. Investors have made a great decision to keep there assets in the stable-coins because they are pegged with the US dollar and the values is always around 1 USD so is minimizing the loss.
The investor decided to avoid the loss in this highly fluctuating economic downtrend!