A Tiny Cryptocurrency Called Omicron Is Suddenly Rocketing—Even As The New Covid-19 Variant Tanks The Bitcoin Price And Crypto Markets

A brand-new, fast-spreading variant, dubbed Omicron, has sent cryptocurrency, bitcoin along with traditional financial markets to a tizzy this week, and investors were advised to “be alert. “

The price of bitcoin fell more than 5percent in just a couple of hours over this week, decreasing it from record-breaking highs of $69,000 per bitcoin to percent and putting bitcoin into a bear market that has erased billions of dollars off of the total market capitalization of cryptocurrency.

But, the price of a tiny cryptocurrency, also named Omicron, has been rising, averaging 500% after the World Health Organization called the Covid-19 variant anew one, recalling the dramatic increase and decline of a bogus Squid Game-inspired cryptocurrency in the last month.

The booming cryptocurrency market that can also mean larger and more well-established coins often record rapid, double-digit percentage gain and loss–often sees small cryptocurrency exploding in value only to plummet just a few minutes later.

In the last month, a flims cryptocurrency venture in the spirit of the popular Squid Game TV show but not affiliated with it and Netflix NFLX +1.1 percent, saw its Squid cryptocurrency grow by hundreds of percentage points before plummeting to little or nothing.

The year has seen a flood of meme-based cryptocurrency that are led by dogecoin, and its largest rival the Shiba Inu have exploded up the price charts of cryptocurrency when traders bet on the hype that is fueled by people like Tesla billionaire Elon Musk. Musk’s influence will be reflected in the long-term future of value.

The cost of Omicron’s omic coin has gone up from $50 to more than $400 over the past few days, according to the price of cryptocurrency data tracker CoinGecko. Despite this it is not clear if CoinGecko or the Crypto.com bitcoin or cryptocurrency exchanges have enough information regarding Omicron to provide it with an estimated market capitalization.

Omicron, described as “a decentralized treasury-backed currency protocol” built on the ethereum scale technology Arbitrum and launched just a few weeks ago, is only traded on the controversial exchange decentralized SushiSwap. The exchanges, which are decentralized in nature implies that there isn’t a central authority to oversee them and are often targeted by hackers as well as exploits, and even”rug pulls” that result in the funds of users stolen.

While bitcoin and crypto market watchers are generally optimistic despite the Covid-19 version that was released that has sent the bitcoin price to a halt this week.

“The news of a new Covid variant coming out of South Africa led to a broad-based sell-off across asset classes,” Martha Reyes, head of research at the digital asset prime exchange and brokerage Bequant In an email remarks. “If lockdowns do ensue, which is not our base case scenario, that will lead to further helicopter money, which ultimately benefits digital assets.”

The cryptocurrency sell-off of this week and the bitcoin price drop to a level that was in line with traditional markets shocked certain people in the crypto sector who are used to seeing crypto prices fluctuating independently of stock and other traditional assets.

“The crypto currency market, for the most part, doesn’t correlate with the traditional markets,” Tally Greenberg, the head of business development for blockchain company All nodes In an email remarks.

“However, there come times when even cryptocurrency follows world events. The news update of a new Covid-19 variant has shaken the world with yet another uncertainty about our global road to recovery, which caused a major dip for large and small cryptocurrencies and plummeting stocks and bonds across all nations.”

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Robert Scoble
Robert is the assistant managing editor for HC News, overseeing coverage of markets, companies, strategy and business leaders. Originally from Boston, Scoble began his journalism career in 1997 & now resides outside New York.

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