The global stock market has plummeted, how can the currency market be alone?

The past few days have been eventful. The global stock market plummeted on Monday, and the U.S. stock market continued to plummet on Tuesday. Now the digital currency market is also plummeting.

As of writing, Bitcoin has fallen to $8,800 and Ethereum has fallen to $227.

At the same time, U.S. bond interest rates also fell sharply, and gold also fell from a high of $1,680 to $1,642.

When gold fell from a high level in a very short period of time, accompanied by a sharp drop in U.S. bond interest rates, this reflected that the panic in the market was already quite high in the short term, and some funds even left gold and flowed into the dollar.

Perhaps it is this extreme panic that also caused some funds to leave the digital currency and flow into the US dollar.

This plunge in the digital currency market may have caught many people by surprise. According to the statistics of Coin Coin, in the past 24 hours, about 20,000 people were liquidated, and the liquidation volume of the entire network was as high as 313 million US dollars, of which Bitcoin The liquidation amount was as high as 31.58 million US dollars. The bulls were strangled, and the bullish sentiment was ruthlessly hit again.

As with every previous market crash, pessimism is pervasive again. What is a little different this time is that when almost everyone was looking forward to the halving market, there was such a sharp drop suddenly, and Bitcoin fell below the psychological barrier of $9,000, which made many people question whether the halving will happen or not. Whether the semi-market will come.

Let’s look back at the time when the past two halvings occurred:

The last halving took place in July 2016. But until 2017, Bitcoin hovered between $500 and $700 for a full five months, and it didn't start to rise all the way until 2017.

The last halving took place in November 2012. But until July 2013, Bitcoin hovered within $100 for nearly nine months, and it was not until October 2013 that Bitcoin started to soar.

In these two halvings, at least 5 months after the halving occurred, the price of Bitcoin actually did not fluctuate greatly.

So will history repeat itself this time, and we have to wait until 5 months after the halving to see hope?

Even if history does not repeat itself and the halving market does come, we cannot expect too much in the short term.If it is conservatively estimated, even if the market comes, it is estimated that it will take a few months after the halving occurs to see the signs. Now that the halving has not even happened, there is no need to have too many expectations for a sharp rise in the price of Bitcoin.

Especially at the moment, the new pneumonia epidemic has become the most unstable disturbance factor in the world. The development of the epidemic has spread to the whole world and has begun to affect the sentiment of investors in traditional markets.

A slight disturbance will cause a large-scale migration of funds, causing violent fluctuations in the prices of investment products in different markets.It is impossible for the niche market of digital currency to be isolated from this general environment.

I think the epidemic will be the focus of global attention not only now, but also in the next few months. It now appears that the epidemic has been brought under control in our country and has begun to develop in a good direction, but it has begun to show signs of outbreak abroad.

How will the epidemic affect the global economy if it continues like this? Will it even lead to Japan being forced to cancel this year's Olympics? This series of unknowns is before all investors around the world.

There may be more "black swans" in the next few months, and the global investment market is bound to experience ups and downs. The digital currency market we are concerned about cannot stay out of it.

We ordinary investors need to make prudent decisions, keep enough rations for life, and invest with spare money. Secondly, novices are not recommended to play contracts or use leverage.