COVID-19 pandemic has caused uncertainty in the global financial market. The world economy is going through a very tough time due to the coronavirus outbreak. Amid this, it could be seen that the crypto market is still giving some hopes to the global economy. Crypto users across the world have started believing bitcoin and other digital assets as a safe-haven amid this crisis.
Cryptocurrencies have also seen some adverse effects due to the outbreak worldwide. Crypto market has also gone down to its lowest in this month due to COVID-19 but soon returned to its revival.
LongHash’s report looks at Pearson correlation scores
In the report by LongHash, the user activities on cryptocurrencies have been recorded amid this pandemic. The report has focused on the top ten cryptocurrency and the crypto users activities on them. According to the Pearson correlation scores that have been used to identify the patterns of close correlation, it has been recorded from the beginning of the year till March 23.
Through the report, it came out that most of the cryptocurrency did not show any kind of pattern related to the correlation. Only Ethereum and Tether’s (USDT) ERC20 was successful in showing some patterns. This implementation in Ethereum and Tether might be due to the crypto users who started considering Tether as safe-haven.
Litecoin also spiked amid the coronavirus outbreak
Not only Ethereum and Tether, but Litecoin has also seen some huge spikes during the market crash due to coronavirus. This spike in Litecoin was seen during the time of lockdown in Italy and emergency in California. On March 4 it was seen that the active address of Litecoin was counted somewhere around 52,000 which is quite high during such a harsh situation.
Although even after crypto market performing so well amid the whole crisis, there were reports which showed that crypto users were abandoning currencies due to the crisis.
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