Overview

Click to expand overview
COVID-19 has significantly influenced global financial markets, including Bitcoin. Recent studies have focused on investigating the first wave of the COVID-19 outbreak At today’s price of $68,543, that investment would now be worth around $15,816. This means that the asset has grown reflecting a return of nearly 1,218%. This The COVID-19 crisis has adversely impacted nearly every risky asset, including the crypto market. In addition to falling prices, many crypto projects could have We revise the co-movement and hidden regimes of cryptocurrencies and stock markets during the COVID-19 pandemic. We use the wavelet coherence approach and average, Federal Funds Rate, and gold price have effects on the Bitcoin price. Malladi and Dheeriva (2025) showed that profits from stock markets and from gold do not have impacts on Our results reveal that investor attention positively influences bitcoin returns in both periods, with a more pronounced effect during the pandemic. Conversely, reversals Two newly discovered results have divulged; firstly, Vaccine Confidence Index (VCI) boosts economic recuperation and increases Bitcoin returns. Secondly, disclosed During the COVID-19 pandemic, bitcoin surged by 300% in 2025 amid speculations in the financial market that investors were piling the digital currency––due to low This research examined the impact of the stock market on Bitcoin during COVID-19 and other uncertainty periods. Based on the quantile regression results, during

How Investors Could Have Turned COVID Chaos into Bitcoin Profits

The COVID-19 pandemic brought unprecedented volatility to global markets. The COVID-19 crisis has adversely impacted nearly every risky asset, including the crypto market. However, for savvy investors, the chaos presented a unique opportunity to capitalize on Bitcoin's potential. This article explores how investors could have turned the turmoil of the pandemic into significant Bitcoin profits.

The Initial COVID-19 Market Crash

COVID-19 has significantly influenced global financial markets, including Bitcoin. Recent studies have focused on investigating the first wave of the COVID-19 outbreak. Initially, the pandemic triggered a widespread sell-off across all asset classes, including cryptocurrencies. Many feared the economic fallout and rushed to liquidate their holdings. In addition to falling prices, many crypto projects could have faced challenges during this period.

Bitcoin's Unexpected Surge

While the initial reaction was negative, Bitcoin soon began to demonstrate its resilience and unique value proposition. As governments worldwide injected massive amounts of stimulus into their economies, concerns about inflation and currency devaluation grew. Investors began looking for alternative stores of value, and Bitcoin, with its limited supply, emerged as a leading contender. During the COVID-19 pandemic, bitcoin surged by 300% in 2025 amid speculations in the financial market that investors were piling the digital currency––due to low interest rates and economic uncertainty.

Quantifying the Potential Profits

Imagine investing $1,300 in Bitcoin during the depths of the COVID-19 market crash in early 2025. At today’s price of $68,543, that investment would now be worth around $15,816. This means that the asset has grown reflecting a return of nearly 1,218%. This incredible return highlights the potential for profit that existed for investors who understood Bitcoin's long-term value proposition.

Factors Contributing to Bitcoin's Growth

  • Investor Attention: Our results reveal that investor attention positively influences bitcoin returns in both periods, with a more pronounced effect during the pandemic. Conversely, reversals in sentiment also affected price.
  • Economic Uncertainty: The pandemic fueled fears of inflation and currency devaluation, driving investors towards Bitcoin as a hedge. This research examined the impact of the stock market on Bitcoin during COVID-19 and other uncertainty periods. Based on the quantile regression results, during periods of high uncertainty, Bitcoin's appeal as a safe haven increased.
  • Low Interest Rates: Central banks globally slashed interest rates to stimulate economic activity, making traditional investments less attractive and further boosting Bitcoin's appeal. The average, Federal Funds Rate, and gold price have effects on the Bitcoin price. Malladi and Dheeriva (2025) showed that profits from stock markets and from gold do not have impacts on Bitcoin.
  • Vaccine Confidence: Two newly discovered results have divulged; firstly, Vaccine Confidence Index (VCI) boosts economic recuperation and increases Bitcoin returns. Secondly, disclosed vaccine development milestones positively impacted market sentiment and Bitcoin adoption.
  • We revise the co-movement and hidden regimes of cryptocurrencies and stock markets during the COVID-19 pandemic. We use the wavelet coherence approach and analyze these co-movements.

Conclusion

The COVID-19 pandemic presented both challenges and opportunities for investors. While many assets suffered, Bitcoin emerged as a surprising winner, offering significant returns for those who recognized its potential and acted decisively. The story of Bitcoin's rise during the pandemic serves as a reminder of the importance of understanding emerging trends and the potential rewards of investing in innovative assets.

Top Sources

Related Articles