Bitcoin lost all of its gains over the weekend, when its price reached a record high of 61.000.


On Monday, the most valuable cryptocurrency lost almost 7% of its value, while today, Tuesday, it has stabilised around 55.900 dollars.


High volatility has to do with the profit taking of some investors after the recent rally, says Vijay Ayyar, head of Asia-Pacific at the Luno crypto currency exchange in Singapore. He predicts a return to $ 62.000 before a new downturn.


Cryptocurrency traders have already taken positions to infiltrate the money economy from the brutal 1.9 trillion fiscal stimulus package of US dollars, betting that part of the $1.400 direct grant money to most Americans will go to the Bitcoin market. The latter has recorded a rally of 1.000% in the last 12 months, having far exceeded assets such as stocks and gold.


We see the markets continuing, given the influx of stimulus resources, but also the improvement in the stock markets,” Ayyar added.


The “return” of cryptocurrencies over the past year has been marked by growing investment interest, with Elon Musk’s Tesla buying $1.5 billion worth of Bitcoin.


There will definitely be some sort of correction in Bitcoin and other cryptocurrencies, as they have made an amazing rally in such a short time,” Atichanan Pulges, CFO at Bitkub Capital, the largest cryptocurrency exchange manager at Bloomberg, told Bloomberg.


He adds, however, that the cryptocurrency outlook is bullish in the long run, as more and more sovereign financial institutions are considering adopting digital currencies.