Nayib Bukele, President of El Salvador, the first nation in the world to declare Bitcoin legal as a currency, is among the people who wish to purchase Bitcoin with the possibility of losing. However, he thinks the price is too low and might require more discounts to fund the purchase.
Bukele’s enthusiasm for Bitcoin is well-known throughout the globe since he’s thought to be the primary architect behind El Salvador’s acceptance of BTC. The tiny Central American nation began buying BTC for $ BTC at the beginning of September this year. They purchased 700 BTC during the month of September, at a time as the most popular cryptocurrency was trading at less than $ 45.000. Bukele was widely criticized in the beginning because the value of their purchases was declining.
When the value of $ BTC was able to reach the new ATH El Salvador’s Bitcoin holdings earned millions in earnings that are currently utilized to construct hospitals as well as other national projects.
El Salvador is already reaping the benefits of embracing Bitcoin
The international media continues to paint El Salvador’s decision to adopt BTC in a negative picture, focusing more on the protests, and less on the positives that Bitcoin adoption has brought to the nation. Chivo, the national Chivo wallet is currently utilized by two-thirds of Salvadorans as well as Bitcoin ATMs have been highly successful, receiving billions of dollars in remittances every day.
El Salvador has also invested in the safe mining of Bitcoin by using the geothermal power available throughout the region. El Salvador has already developed the infrastructure and has mined its first Bitcoin thus the move proved to be a major victory for the struggling country despite all the doubts.
Director of Fidelity anticipates more gains for Bitcoin in comparison to the gold market in the 70s
While Bitcoin reverses are not brand new Market analysts are still adamant about Bitcoin.
Director of Fidelity’s Global Macros, Jurrien Timmer is predicting that the cost of BTC will rise in the future according to the patterns of supply and demand.
In an interview with CNBC last week, Timmer stated that BTC could rise to $ 100.000 in 2023. It is evident that Timmer doesn’t expect BTC’s price BTC to jump up towards $ 100.000 and says there might be some drawbacks. . Thus, when comparing it with the price of the gold boom in the 70s, he states:
“Similar to gold in 70’s time, it would not be surprising to see a rise that is followed by the correction. It’s identical to the earlier bitcoin boom and bust cycles and also perhaps the least linear thing that it could accomplish “.
In the course of his CNBC interview with CNBC Timmer declared: “Bitcoin is a more convex form of gold. It is in a growing shortage and gold doesn’t have the network dynamics bitcoin does, so it’s natural that bitcoin has a higher performance than gold. Gold and Bitcoin are two distinct members of the same side “.