In the Covid 19 pandemic, the cryptocurrency market is not protected from a decline in value, and this can lead to a low level of involvement of financial institutions with cryptocurrencies
PriceWaterHouse (PWC) released a report on fundraisers and mergers and acquisitions related to cryptocurrency.
They fell steeply last year, as Bloomberg reported in the PWC report. But in no case will this mean that the crypto market will go extinct.
Institutional investment in the cryptocurrency industry may not be as gigantic as expected, according to PWH, who stated that the number and value of cryptocurrency fundraising, mergers and acquisitions decreased significantly in 2019.
The value of mergers and acquisitions related to cryptocurrencies decreased by a 76%from $ 451 million last year more than $ 1.9 trillion last year.
In other words, the funds raised fell over 40% to about $ 2.24 billion.
Despite the fact that Bitcoin is in the second and third quarters of 2019 its value increasedWhen it peaked at $ 13,500 in July, it was BTC unable to lure investments into their markets as expected.
Similarly, the crypto industry expects general usage to be faster once institutional investors use cryptocurrencies.
Cryptocurrencies in the middle of the pandemic
According to the Covid 19 pandemic, the report assumes that cryptocurrencies will not be a major attraction target for investors in the short term. The global economic collapse doesn’t seem to be a bright future for emerging spaces like cryptocurrencies.
The cryptocurrency industry is believed to be affected by global market controversy as the number and value of cryptocurrencies to raise funds and merger agreements between large retailers and new acquisitions could be affected in 2020. This is evidenced by the volatility of the market.
But maybe, if there is widespread acceptance due to Covid-19 – and this is enforced – it will be the recommendations in addition to the tests that some institutions do for digital currencies and the formalization of the legal framework for crypto assets Avoiding the use of cash can give cryptocurrencies a boost both hygienically and economically in this turbulent time.
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