I think that's normal for the people to panic sell their holding in bitcoin or any other digital coins. Some of us are shocked when the price of the bitcoin adn other cojns drastically changes and going down.
For the situation, many people can't go outside their houses, and many can't even go to work. So, I think they're selling their bitcoin to fiat for them to have their money to be use.
Some of my friends who are professional trader on Binance and Bittrex platform also exchanged their BTC at a lowest price. I asked them why they sold it at such a loss, they replied that they thought coronavirus will badly hit the crypto market like the stock market. So, there are many people who thought that way and sold their BTC at cheapest price. I think this is the main reason for bitcoins price collapsed.
Well, I think it is really inevitable for some people to sell their btcs because of the pandemic despite the fact that it will not directly affect the price of the market. Just look at how the price are now, the price is affected by those scammers of PlusToken sending their scammed btcs to mixers. People would be selling their btcs from panic not just because they don't know what will happen but also because they might need fiat in this lockdown.