Bitcoin Price (BTC) Slumps 9% Despite Positive Developments


Bitcoin price tanks 9% and refuses to feed off all the support it’s been getting lately. The market sentiment has turned bearish despite all the good signs around the block.

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Bitcoin witnesses major endorsements from Central & South America

To start off, the president of El Salvador president Nayib Bukele said the country is looking to adopt Bitcoin as ‘legal tender’ and that an official proposal will be presented to the country’s Congress soon. Bukele then declared in a tweet that there will be no capital gains taxes on Bitcoin gains and that all “crypto entrepreneurs” will be awarded a permanent residency.

The Central American backing has grown even more now that a Panamanian official has added his two cents. He proposes appropriate legislation to make Bitcoin legal in the country.

South America also joined the party. Carlitos Rejala, a member of Paraguay’s National Congress, recently said that Bitcoin will go “to the moon,” and that the country would need to work “hand-in-hand with the next generation” to keep up. 

Bitcoin’s old friend Microstrategy is still bullish on Bitcoin. The company has announced it will sell $400 million in bonds to institutional investors and use the proceeds to acquire more bitcoin.

BTC Price Tanks Despite all the Support

Bitcoin dropped $3,000 to $32,220 Wednesday morning, according to data. It has subsequently rebounded to $33,158  at the time of writing, but it still trades considerably below the 34-period moving average.

Bitcoin had earlier failed to break beyond the $36,000 level of ‘resistance.’ As a result, its market cap has plunged by $600 billion. Also, According to data from Bybt, $433 million in Bitcoin traders were ‘liquidated’ in the last 12 hours, with over $1 billion in futures liquidations throughout the whole crypto market.

Looks like the laser eyes of Central American leaders, Investment announcements from the big firm are not enough for Bitcoin to start an upward trend



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