In the global recession, nothing is safe. When economic activity is at its lowest point, people are in desperate need of money. In this state, it is not surprising that the price of Bitcoin has fallen.
Bitcoin's price has increased during the pandemic and we had our ATH. The scenario changed after news from a disaster in a chinese coal mine came to light. 21 people were trapped inside the mine and accordingly to the news the mine was restarted without government's permission, as more power was needed to supply the bitcoin mining operations. After that accident, chinese government announced another crypto ban and Elon Musk stabbed bitcoin in the back. After those events, speculation took place and a bear season started.
In fact, if there is Bitcoin, many people will sell it. This is to be expected. Bitcoin's value will inevitably fall like stocks. Bitcoin's market is not absolutely independent of what is happening in the world. This is obvious.
But Bitcoin will not go bankrupt, it will not happen. The company may go bankrupt, and even the country may fall into a debt crisis. But Bitcoin will not reach that state. Bitcoin will eventually rebound
why?
Bitcoin is a way to protect our money against fiat inflation. The digital currency is the most accessible and easiest way for doing it. That is why the price skyrocketed during the pandemic, because people were fearful of their traditional investments which rely on the prosperity of the their local economies and currencies. Governments print too much money to keep things temporarily stable, but on long term the effects are catastrophic.
The alternative is bitcoin, since it has a limited supply and investors have the assurance this rule isn't going to change (I have some doubts on this matter, but that is the idea bitcoin sells).