In the US, the\u00a0Centers for Disease Control and Prevention stated that it is preparing for person-to-person transmission. Meanwhile, the number of confirmed cases of Coronavirus also swelled in other non-Chinese regions, including South Korea, Japan, and Iran.<\/p>\n

The unfolding of virus-related events made investors risk-averse, leading them to exit their bullish positions in the global benchmark markets. As for bitcoin, it too got caught up in the selling frenzy. The cryptocurrency was already sitting atop a 35 percent year-to-date profit<\/a>, which made it an ideal asset to sell at a local high.<\/p>\n

https:\/\/twitter.com\/RonnieMoas\/status\/04321024<\/p>\n

Blow to Safe-Haven Narrative<\/h2>\n
Coronavirus served as the exact kind of crisis that could propel bitcoin’s rate further to the upside. That is partly because of the asset’s bullish performance in the past against global risks, including the Greece debt crisis<\/a> and the very recent US-Iran military conflict<\/a>. That earned bitcoin the tag of “digital gold.”<\/p>\n
Nevertheless, the cryptocurrency switched sides to behave as a risk-on asset. Its rise and fall against Coronavirus mirrored the stock market moves. At the same time, globally perceived hedging asset Gold climbed, proving that investors conveniently discredited bitcoin as their safe-haven.<\/p>\n
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Did everybody who called bitcoin a safe haven asset flipped already and is now calling it a risk-on asset?<\/p>\n
Asking for a friend. He's writing a paper on pancakes.<\/p>\n
— Alex Kr\u00fcger (@krugermacro) February 25, 2020<\/a><\/p><\/blockquote>\n