Paypal co-founder and billionaire investor Peter Thiel sees Bitcoin as the online equivalent to gold, betting on Bitcoin and arguing that a quest to amass a great deal of money is the bubble that never pops. Thiel holds Bitcoin as a haven for its stores on monetary assets.
Thiel has decades’ worth of strategic and smart investments, as co-founder of PayPal and one of the first investors in Facebook. He backs the idea that Bitcoin will become a store of value instead of a currency used for an online transaction:
“I’m not talking about a new payments system. It’s like bars of gold in a vault that never move, and it’s a sort of hedge of sorts against the whole world going falling apart.”
If the market sees further consolidation, Bitcoin price could drop a further 25% from February highs, although technical analysis traders have mixed opinions on the matter.
Thiel’s investments could be more than what meets the eye and he could be more bullish on the currency than he lets on. In January 2018, Founders Fund, of which Thiel is the co-founder, recently purchased between USD 15 million to 20 million worth of Bitcoin across several of its funds.
Thiel’s comments could help the market, with the price slowly climbing back up from a fall below USD 7,682. Thiel also struck a bullish tone on Bitcoin against altcoins,suggesting that the most substantial cryptocurrency by market capitalization will maintain its position.
Nevertheless, his sentiments did not express complete confidence. Thiel speculated that there is a 50 to 80 % chance that Bitcoin would have no value in the future.