The world is facing a financial crisis as markets continue to crash. World governments led by the U.S are using every financial tool at their disposal to try and mitigate the downfall. Through the FED, the U.S is attempting to get a handle on the markets by printing more money.
The New York FED has announced changes to the amount offered in daily overnight repos. The FED is set to increase the amount from $100B to $150B starting from 9th to the 12th when this amount will be reviewed again. It also announced an increase in the 2-week term repos. This will move from at least $20B to at least $45B starting March 10 to 12, 2020.
This, the crypto community has continued to point out is a fundamental flaw in the financial system.
At the start of a new week, a majority of markets have started off in the negative. As investors cash out with the growing concerns over the Coronavirus, many expected this cash to make it to Bitcoin. Surprisingly, little of that money has made it to the crypto market.
In response, Bitcoin and other cryptocurrencies are in deep red. Bitcoin at the time of writing this has lost nearly 10% and dropped below $8,000. Wiping out much of the year’s gains.
Bitcoin continues to falter as a safe haven. But as KimDotcom notes, the worst is yet to come. Bitcoin will rise to the occasion and fulfill its purpose soon.