This is a very serious disease for many of the infected when left untreated: it causes pneumonia (inflammation of the lungs/airways) which makes people’s respiratory system less effective, leading their blood oxygen levels to drop and potentially leading to death, especially in the elderly and people with pre-existing conditions like cardiovascular problems, obesity, diabetes, compromised immune systems, asthma, other chronic respiratory issues, ....
A significant proportion of people over 60, a non-negligible proportion of people ages 40–60, and still some proportion of people aged 20–40 need to be hospitalized and put on supplemental oxygen. In severe cases people need support from a mechanical respirator. In the WHO report from China 20% of positive cases needed hospitalization. This might be a substantial overestimate if there are many mild cases not caught by tests, but even if that estimate is off by a factor of 5 or 10, if there are many cases this can overwhelm hospital capacity.
When treated aggressively by a capable healthcare system (caught early before severe symptoms start, treated with antiviral meds, patients put on supplemental oxygen as soon as blood oxygen starts to dip, hospitals have enough respirators for severely affected patients) so that people don’t die while waiting for their immune systems to fight the virus off, many fatalities can be avoided, as is happening in Singapore or some wealthier provinces in China. But this depends on social distancing in the community, widespread testing, aggressive isolation and contact tracing of infected people, and efficient triage of cases.
If cases are not caught early and treated aggressively or if medical systems get overwhelmed, it is bad news. If this virus is not checked and spreads throughout the world quickly, the death toll could be in the millions.
Beyond being very dangerous to a substantial proportion of infected people, it is also extremely contagious, and has been spreading very rapidly. It is contagious even among pre-symptomatic or asymptomatic people. Perhaps most dangerously, its early symptoms are close enough to ordinary cold/flu symptoms (and some of the infected seem to not advance to the more serious stage) that people who are shedding the virus continue to go about their everyday lives without realizing they are infected with novel coronavirus instead of a typical cold or flu.