The leading cryptocurrency’s price dipped below the $55k level last week, with traders and investors taking advantage of the dip. El Salvador also took advantage of the dip to add to its cryptocurrency stash.
El Salvador Increased its Bitcoin Holding
El Salvador remains the most bullish country currently in the cryptocurrency space. President Nayib Bukele is a big Bitcoin fan and has made El Salvador the most progressive cryptocurrency country in the world.
Bitcoin’s price dipped below the $55k level last week as the global financial markets experienced massive losses. President Bukele announced following the dip that El Salvador had acquired 100 more bitcoins.
El Salvador just bought the dip.
100 extra coins acquired with a discount 🥳#Bitcoin 🇸🇻
— Nayib Bukele 🇸🇻 (@nayibbukele) November 26, 2021
The decline in Bitcoin’s price came following the massive losses recorded by other financial markets. The losses were caused by the discovery of a new Coronavirus variant in South Africa called Omicron. This variant mutates into various other forms, and it is predicted to be very deadly.
The discovery of the new Covid variant had investors afraid that there would be another worldwide lockdown as authorities try to get the virus under control. This led the cryptocurrency, stock, forex and commodities markets to experience massive losses towards the end of last week.
Bitcoin is Rallying Towards $60k
Bitcoin and other cryptocurrencies experienced massive losses towards the end of last week. However, the market has started to recover, and Bitcoin is rallying today. At press time, BTC is trading above the $57k level, up by more than 5.5% over the past 24 hours.
BTC’s technical indicators are also looking good at the moment. Bitcoin is closing in on its 50-day moving average, which currently stands a $60,807, thanks to its latest performance. The MACD line remains below the neutral zone but is slowly recovering. Meanwhile, the RSI of 43 shows that Bitcoin is getting out of the oversold region and could soon be neutral. These indicators show that Bitcoin’s price is performing well and could rally higher over the coming hours.
El Salvador is the first and only country in the world to make Bitcoin a legal tender. The country is already benefiting from its cryptocurrency adoption as it is set to build 20 schools from its Bitcoin Fund. The country is also working on establishing a Bitcoin City in a bid to attract investors and innovators.