INFOGRAPHIC: BITCOIN VS. COVID-19
May 25, 2020
The Bitcoin world was a carefree flourishing environment, it’s price fluctuating, of course, but no more than usual with it’s price staying pleasantly high, until around new year of 2020 when something new and still unknown began elbowing it’s way to the front pages. At first it was news just like any other but only a month later we began realising that this might leave a mark anyway in the sturdy system that is Bitcoin, slowly but steadily getting known as the Covid-19.
The first questions began popping up on Bitcoin forums, blogs and news sites: “Will this affect Bitcoin?”, “Is the price going to drop?”, “Will Bitcoin fight through?” and more.
Not much more then another month later, when the World Health Organisation declared the world pandemic, Covid-19 left it’s first imprints on Bitcoin charts and values.
For those of you who are considered experts in the Bitcoin community and everyone following Bitcoin’s price fluctuations for the sake of your own coin’s future, you probably already know at least some of the information pictured below. As a summary or as complete news, we created the following whimsy cartoon infographic: Bitcoin vs. Covid-19 – Bitcoin’s journey through the Covid-19 pandemic.
A strange flue-like virus first appeared in Wuhan, China at the end of December 2019. As the first month passed we witnessed the virus rapidly spreading across the world. On January 30th the World Health Organisation (WHO) declared a public health emergency and the virus became globally known as the Covid-19.
Through February everything from panic to confusion engulfed every corner of the Earth including the world of Crypto until March 11, when the WHO declared a world pandemic.
The impact on Bitcoin by the March event was evident:
1. Bitcoin transaction fees jumped from 16 Satoshis/Byte (March 1 to 11 average) to 60 Satoshis/Byte (March 12 to 22 average), an average increase of 44 Satoshis/Byte,
2. Bitcoin price dropped from averaging around 8850 USD during the first week of March to below 5000 USD after March 11 – almost a 4000 USD decrease,
3. the increasing number of Bitcoins in circulation didn’t show any effect from Covid-19, which was expected as mining new Bitcoins has no reason to slow down or stop unless there was a global power outage.
And if all this change might have frightened any Bitcoin enthusiast, things soon began diverting back to normal. By the end of March Bitcoin transaction fees were back to normal and the price started growing back again, reaching previously satisfying values with May already.
The large increase of Bitcoin transaction fees at the end of April isn’t related to the Covid-19 conundrum, it’s a consequence of Bitcoin’s third reward halving (every 210,000 blocks mined, or about every four years, the reward given to Bitcoin miners for processing transactions is cut in half), which was scheduled for May 11 and expected.
And last but not least interesting and somewhat comforting news is the home-stay slots jackpot won at the beginning of May and amounting a staggering 29.65 Bitcoin, earning the winner about 250,000 USD. The winner remains anonymous. It’s great to see the quarantine brought some luck to someone!