Baxia Markets
June 18, 2021

Bitcoin faces resistance 06/18/21

fundamental analysis top header -01


El Salvador’s government announced that they would accept Bitcoin as a legal tender by law. This news, alongside Elon Musk’s tweet about accepting Bitcoin as a payment method, sent the coin on a healthy upward trend. Bitcoin touched $40000 for a short moment as the news developed. The move was first proposed by the country’s president, Nayib Bukele, who said that he believes Bitcoin will facilitate lower remittance fees and attract investment.




The El Salvador law gave the nation just three months to roll the plan out, which is not a simple task given that no country has ever used Bitcoin, or any other cryptocurrency, as legal tender. As the rollout is facing challenges, El Salvador government turned to the IMF and World Bank for help. While the IMF offered some guarded assessment for the Bitcoin move, its spokesman Gerry Rice said “ the adoption of Bitcoin as legal tender raises a number of macroeconomic, financial, and legal issues that require very careful analysis.” Meanwhile, the World Bank just turned down the proposal for its lack of transparency and negative environmental impact.


We love to hear new ideas from traders and want to know what you think! 


If you like this topic and want to suggest future topics that you find helpful, let us know by clicking the ‘submit your feedback’ button below.


Open Live Account  


Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. 


Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit. 

Subscribe by Email