By Kyle Torpey
The Bitcoin price is known to be extremely volatile over the short term, but the past couple of months have been a particularly wild ride for the crypto asset. After hitting a 2020 high of over $10,000 in the middle of February, the Bitcoin price was lower than $5,000 a month later. Since then, the price of the world’s most popular cryptocurrency has recovered somewhat to around $7,300.
These extreme fluctuations in the price have many speculators wondering what will happen with Bitcoin next, especially in the context of massive, debt-based government expenditures in response to the Coronavirus pandemic. Former Facebook executive Chamath Palihapitiya recently stated that there’s now a five or ten percent chance that Bitcoin will be worth millions of dollars one day. Earlier this year, Tesla CEO Elon Musk noted that he’s not convinced the cryptocurrency could become a major database for money around the world. Additionally, billionaire investor and Bridgewater Associates founder Ray Dalio believes investors will turn to gold rather than Bitcoin during a potential crisis in the world’s major fiat currencies.