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Bitcoin’s Fate Is Now Tied To Stock Market And Jobs, For Better Or Worse

Bitcoin.Antana/Flickr

The skyrocketing price and influence of Bitcoin have become such a huge presence in the financial world that it can now have a substantial impact on both employment and the traditional stock market. As the cryptocurrency rises and falls in value, the number of jobs in the market has risen almost faster than the price of the coin itself. If it implodes, experts believe the fallout could reach the stock market.

As of writing, Bitcoin’s price has surpassed $16,380 after recovering from its recent slump. This is pretty much in line with what many experts expected despite the panic that the drop in value caused. However, while most are focused on the actual price of the cryptocurrency, others are looking into the wider effects of Bitcoin’s rise.

As Fortune reports, for example, the number of jobs or experts in the cryptocurrency field has risen since the start of the year. Using LinkedIn as a reference, the publication noted a 306 percent increase in the number of jobs related to Blockchain over the past 12 months. During the same period, Bitcoin’s price surged by 900 percent.

However, the number of job postings using “Bitcoin” in the headlines had reached 4,917 in roughly the first 11 months of 2017. That was a jump of 5,753 percent, which was higher than the rise of Bitcoin’s value in the same period. Suffice it to say, any major change in the cryptocurrency arena is going to have a major impact in this sector.

Speaking of which, the head of Wells Fargo Securities’ equity strategy, Christopher Harvey warns that if Bitcoin lost a substantial amount of its value, the effects could spill over to the stock market. The monumental ascension of the cryptocurrency has now apparently affected equities, CNBC reports.

"There is a significant amount of froth in the cryptomarkets. We do think that if that froth comes out, it will start to spillover," Harvey said.

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