[Bitcoin Now] Surges to 43 Million Won Range... Cryptocurrency Fluctuates in El Salvador

El Salvador Becomes the First Country in the World to Approve Bitcoin as Legal Tender
Experts Say "Bitcoin Could Drop to $20,000"

[Image source=Yonhap News]

[Asia Economy Reporter Gong Byung-sun] The representative cryptocurrency Bitcoin surged to the 43 million won range. The move by the Latin American country El Salvador to become the first country in the world to recognize Bitcoin as legal tender acted as a positive catalyst.

According to the domestic cryptocurrency exchange Upbit, as of 7:45 a.m. on the 10th, Bitcoin recorded 43.11 million won, up 12% from the previous day. After falling for five consecutive days and dropping to 36.36 million won on the 9th, it rebounded.

El Salvador's bold move had a positive impact. On the 9th (local time), the US economic media CNBC reported that the El Salvador Congress approved Bitcoin as legal tender. The El Salvador Congress passed the bill approving Bitcoin as legal tender, submitted by President Nayib Bukele, with a majority vote. This made El Salvador the first country in the world to approve Bitcoin as legal tender.

Earlier, on the 5th, President Bukele participated in the 'Bitcoin 2021 Conference' held in Miami, USA, and announced plans to use Bitcoin as legal tender. He explained, "Through Bitcoin, we will create jobs in the short term and provide financial accessibility to people outside the formal economy." In fact, it is known that 70% of El Salvador's population does not have bank accounts or credit cards, resulting in low financial accessibility.

Meanwhile, experts have forecasted that the downward trend of cryptocurrencies has not yet ended. On the 8th, the US economic media Bloomberg cited experts predicting that Bitcoin could fall to $20,000 (approximately 22.27 million won). Edward Moya, senior market strategist at US financial advisory firm OANDA, analyzed, "Regulatory fears are growing in the US, causing Bitcoin prices to fall to risky levels," and "If the $30,000 level is broken, a massive sell-off could come from momentum trading investors chasing the market flow."

However, some experts analyzed that the long-term outlook remains positive. This is due to positive factors such as MicroStrategy, the private company holding the most Bitcoin, purchasing additional Bitcoin, and El Salvador adopting Bitcoin as legal tender.

This content was produced with the assistance of AI translation services.