The annual Country to Country event was axed hours after the Scottish Government announced a curb on "mass gatherings" of more than 500 people.
Country to County events which were also due to take place this weekend in Dublin and London have also been called off.
Acts due to appear on stage at the Hydro included Luke Combs, Eric Church, Darius Rocker, Brett Young, the Old Crow Medicine Show and The Shires.
Organisers of the three events are advising fans to hold onto their tickets.
Country to Country is the latest major event at the Hydro to be affected by coronavirus after The Who and Santana both postponed concerts planned this month.
It is not yet known exactly how the Scottish Government's ban on "mass gatherings," which comes into effect on Monday, will affect indoor venues like the Hydro.
The move, announced by First Minister Nicola Sturgeon, is aimed at restricting "large gatherings above 500 people with the potential to impact the emergency services."
Official guidance on how events will be impacted will be published in the next few days.
Other acts due to play the Hydro in the next few weeks include Harry Styles, Simple Minds, Pussycat Dolls and David Gray.
A statement from Country to Country said: "Due to the global pandemic of COVID-19 and the changing nature of travel policies in other countries alongside possible extended future restrictions, it is with regret that Country to Country Festival 2020 – London, Dublin and Glasgow – is being postponed.
"Ticket holders are advised to hold onto their tickets. More information will be announced in the coming days on the rescheduled event. Thank you all for your understanding and patience at this very difficult time."