Latest news about Bitcoin and all cryptocurrencies. Your daily crypto news habit.
Binance.USâ CEO believes coronavirus quarantine efforts will increase American crypto trading, citing recent volume resurgence in Asia.
Catherine Coley, the CEO of Binance US, revealed that the coronavirus quarantine in Asia drove a surge in trade volume during an interview with Bloomberg on March 16.
On the subject of the recent correlation between Bitcoin (BTC) and the S&P 500, Coley asserts that both the traditional cryptocurrency markets are playing out a familiar long-term cycle.
She states that the markets are experiencing what she terms the âCRIC cycleâ â where âcrisisâ yields a market âresponse,â followed by âimprovements,â and then a return to âcomplacency,â before the cycle then repeats:
âSo, in the regular traditional asset classes, as with Bitcoin, youâre seeing that complacency in the market turn into crisis, creating panic. Thatâs going to generate sell-off across the board.â
Bitcoin is resilient to real-world supply-chain shocks
She emphasizes that the cryptocurrency markets are underpinned by âtechnology that we can trade on 24/7, regardless of our environment,â describing the ecosystem as impervious to the âsupply chain problems that we are seeing from national traded stock.â
âYou also saw [...] a resurgence of trading volumes taking place in Asia when the [...] quarantine took place. So I think you will see the same thing happen in the U.S. when we get more firm guidelines on what the quarantine means for America,â she said.
âI think you see Bitcoin being something that we can continue to engage with, regardless of the safety and concerns of the U.S. and globally,â Coley adds.
Current BTC prices are affordable for institutions
Coley argues that the cryptocurrency ecosystem has matured significantly over the last year, adding that current prices may lure institutional investment:
âWeâve seen such a maturing from last year in this space, with institutions being able to identify who are really the players in the crypto space, and now the prices are now affordable for those institutions to come in.â
When questioned as to whether Bitcoinâs perceived status as a âsafe-havenâ asset has been challenged by recent market volatility, Coley states, âI think that markets are still trying to figure out what exactly âsafe-havenâ means.â
However, Coley predicts that Bitcoinâs lack of dependence on the physical world will see it continue to trade with strength despite global quarantine efforts and economic challenges faced amid the coronavirus threat.
Since launching in September 2019, Binance.US has steadily increased the number of crypto assets listed on its platform. In March, the exchange announced support for Tezos (XTZ) and started accepting USD Coin (USDC) deposits.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.