Bitcoin’s price change put the asset on top. As the world yearned for digitalization during the disastrous pandemic, cryptocurrencies especially Bitcoin was seen acquiring immense traction. As celebrities and even the average Joe steered towards the crypto industry, government officials did not hold back. The latest crypto rally seems to have insinuated a new chain of attention to the asset as the former Prime Minister of Canada recently spoke about the king coin in a recent interview.
Bitcoin A Potential Reserve Currency?
The financial sphere has been longing to replace the US dollar’s monopoly. The 22nd Prime Minister of Canada, Stephen Harper pointed out that the lack of alternatives has been helping the USD stay on top. Appearing at the Vancouver Resource Investment Conference, the former prime minister revealed that a large alternative was required to overpower the dollar and the Euro as well as the Chinese currency, yuan. However, both these have their own drawbacks, he added.
He went on to suggest that Gold, Bitcoin along with Central Bank Digital Currencies [CBDC] could replace the dollar as the world’s major reserve currency. He detailed,
“I think you’ll see the number of things that people use as reserves will expand, but the U.S. dollar will still be the bulk of it.”
The Bitcoin Bubble narrative has been surfing around the world. While some have been saying “Buy the dip”, a few others are sticking to the anecdote that Bitcoin was a bubble that was going break anytime soon. Steering towards the United States of America, Lawrence H. Summers, the former Treasury Secretary recently appeared in Bloomberg’s interview and suggested that Bitcoin was here to stay.
“I don’t think that the whole thing is going to collapse. I think that having run up and then run way down, and then move back, it looks much more resilient, and therefore I think people are going to move towards it, and as people move towards it, given the finiteness of its supply, that’s going to be a factor working to raise prices.”
While the endorsements for the king coin kept coming in, it staggered at $35K and didn’t seem to leave that zone.