El Salvador’s president still sees a bright light at the end of the tunnel for Bitcoin even though the cryptocurrency has been having a recent up and down movement in price.
Despite a recent slowdown in market activity, El Salvadoran President Nayib Bukele is bullish about Bitcoin. Bitcoin was trading at $37,227 at the time of publishing, down 1.96 percent in the previous 24 hours. Bitcoin is currently down 45.89 percent from its all-time high of $69,000.
According to Nayib Bukele’s recent Twitter feed, due to Bitcoin’s capped supply of 21 million, a massive price hike is only a matter of time. He explains that the current Bitcoin supply of 21 million is insufficient to meet the needs of even half of the world’s 50 million millionaires. This appears to imply that demand may outstrip supply, causing prices to rise.
Mike McGlone, a Bloomberg Senior Strategist, believes that rising demand and falling supply will lead to a big price increase for Bitcoin and Ethereum in the near future.
El Salvador’s President, Nayib Bukele, made some Bitcoin-related forecasts on Twitter at the start of the year. Bukele predicts that at least two other countries will follow El Salvador’s lead and make BTC legal money, with the top asset fetching $100,000.
El Salvador recently added 410 Bitcoin for $15 million to their cache of at least 1,801 BTC worth around $67 million at the current exchange rate during the latest price falls in January.
Due to threats to financial stability and consumer protection, the International Monetary Fund (IMF) had recommended El Salvador stop using Bitcoin as legal cash. The IMF report came after a dramatic drop in Bitcoin’s price, with BTC losing almost $10,000 in value between Jan. 20 and Jan. 25, according to CoinGecko data.
