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Investing

Is Bitcoin Bearish or Bullish Due to the Coronavirus?

Digital currency investors are speculating on whether bitcoin is bearish or bullish. The stock market dropped, possibly due to fears over the coronavirus, as well as supply chain issues that wreaked havoc on global markets. Bitcoin is regarded by some as a safeguard against such drops. When the stock market dips, some people choose to increase their digital investments, but is that what’s happening today?

Bitcoin Price Trends

bitcoin took a massive drop since this morning. It was over $9,000 on March 7, 2020. As of this article, it has tanked to $8,196 USD. There was a small bump of 1%, followed by a further drop of 3%. Is there any hope for support? Time will tell.

A Darth Maul Candle?

Some people are calling this price action a “Darth Maul Candle.” In English, this means that the high volume trading and subsequent drop may indicate a bearish trend. One digital trader, Byzantine General expressed this on his telegram channel. This person said, “When darth mauls go up first, then down, they are usually bearish and continue to bleed.”

What Should You Do With Your Bitcoin?

Some traders would say, “when in doubt, HODL!” The key is to not make a hasty decision that you’ll regret. If the price stops dropping, you may even consider buying in at the discounted price. Just keep watching the markets before you do anything drastic.