Cryptocurrency Market Update: Bitcoin eyes $7,000 ignoring the Coronavirus menace

The Coronavirus breakout continues to wreak havoc across the globe leaving some countries such as Italy at a standstill. Financial markets including the cryptocurrency market have spent the entire week trying to recover from the damage caused by COVID-19 last week. While considerable progress has been made especially in the cryptocurrency market, the prevailing levels are significantly lower compared to the highs achieved in February.

The Coronavirus worldwide update

At the time of writing, wordometer, a platform that tracts data related to the Coronavirus places the number of cases at 245,927. There have been 10,048 deaths so far, however, this number continues to increase by the hour. About 88,000 people are reported to have recovered from the virus while the number of new cases have gone down in China, the epicenter of COVID-19. However, new infections in other countries are still on the rise.

To deal with the pandemic, some countries have resorted to restricted movements while others are in total shutdown. The impact on the financial markets, cryptocurrency market and the global economy has been massive and is likely to worsen. Central banks have reacted by cutting interest rates and printing more money to ensure that demand is met during this period.

Cryptocurrency market update

BTC/USD is trading at $6,270 following a 1.4% growth on the day. Both the Asian and European sessions have been mainly bearish. However, buyers have been keen on ensuring that support at $6,000 stays in place. An intraday low at $6,063 saw the bulls pull upwards but the selling activities at $6,300 could not permit more upside action. The current trend is bearish but the low volatility hints that fast moves could be limited.

ETH/USD is in the green on Friday after adjusting upwards from $136.67 to $138 (market value). Ethereum bulls have thrown jabs at the $140 resistance but their efforts have gone unrewarded. Ethereum’s path of least resistance is downwards amid the bearish trend and low volatility levels.

XRP/USD is in the red by 1.1% after correcting lower from $0.1650 to $0.1633. A rejection at $0.1745 on Thursday allowed the bears to take over. While support at $0.16 has been strong enough to hold, XRP remains under great risk of plunging back to $0.15.

Chart of the day: BTC/USD 2-hour chart