As the coronavirus rout continues whipsawing stock markets, Federal Reserve chairman Jerome Powell effectively hinted on Friday that the central bank is willing to slash interest rates. While admitting that the coronavirus crisis has the potential to jeopardize the economy, he maintained that the US economy is still robust.
Roughly two weeks ago, global markets were smashing new highs as bitcoin traded comfortably above $10k. This week, however, the markets have witnessed the steepest correction in a decade. For perspective, at least $6 trillion was wiped off, making this the worst week for the stock market since the 2008 global financial crisis.
While crypto has been touted as a hedge against global turmoil in the past, this week has proven otherwise. Bitcoin tumbled below $9K and has since been slowly bleeding out.
However, according to Cardano CEO Charles Hoskinson, crypto is still the best bet. If the worst comes to the worst with the novel coronavirus, stocks will continue plunging and governments will be completely crashed. Crypto will then emerge victorious because it is resistant to such aftermaths.