Raul Pal, the investor and CEO of Real Vision, considers that global economic crisis can make Bitcoin world reserve currency.
According to the ex-manager of Global Sachs hedge fund, the rate of the first cryptocurrency can exceed $1 mln in 4 years already. Bitcoin can function as a reserve currency and become a background for new financial systems appearance.
Pal expects that in the next six months global economy will be in recession due to coronavirus epidemic. In the worst case, recession in global markets can last up to three years.
“We do not know now, how long will last recovery, but recession can last up to three years. I am afraid that U.S. dollar may significantly grow and this will lead to deflation, problems in world economy and in U.S. economy”, — he stressed.
What about the Bitcoin rate, global crisis can ginger interest in the first cryptocurrency, what will cause explosive growth.
“If you look at the bitcoin rate on a logarithmic scale, we see a tapering triangle. And when it is broken, then, judging by the schedule, the Bitcoin exchange rate can reach $1 million already before the next halving of the award to the miners. Is it possible? We will wait and see, but I think it is possible”, — Pal said.
Last month Raul Pal claimed that after the announcement of the cryptocurrency project Libra the world realized that anyone is able to run his digital currency.