Nayib Bukele – the president of El Salvador – is asking people to be “patient” with bitcoin, suggesting that despite the ongoing price dips, he remains confident in the world’s number one digital currency by market cap.
The President of El Salvador Says Everyone Must Be Patient with BTC
In a recent string of tweets, Bukele explained the following:
I see that some people are worried or anxious about the #bitcoin market price. My advice: stop looking at the graph and enjoy life. If you invested in #BTC your investment is safe, and its value will immensely grow after the bear market. Patience is the key.
Bitcoin – along with several of the world’s digital currencies – is crashing like crazy. The digital asset initially rose to about $68,000 per unit just eight months ago, though at the time of writing, it has fallen by more than 70 percent, and the currency is trading for just over $21,000. What’s scary is that this was an improvement over where it was during the final weeks of June, a time that freaked all traders out as bitcoin fell to the mid-$17,000 for a brief period.
At the same time, while all this might be concerning at first glance, Bukele seems to understand – like most experienced traders – that bitcoin and many of the assets in the crypto space are arguably experiencing a correction of sorts, and that these kinds of things should ultimately be expected at this point. The fact is that bitcoin and many other digital assets reach new highs every four years, only to come crashing down in ugly fashion before they slowly begin their ascension up the financial ladder once again.
This is exactly what happened in 2018. During the final months of the preceding year, bitcoin rose to a new all-time high of about $20,000 per unit, though things took a dark turn in early 2018 when the currency began losing much in terms of its price. By the end of 2018, the asset ultimately lost 70 percent of its value (like it’s done now) and fell into the mid-$3,500 range.
This Happens Every Four Years
Four years prior, at the end of 2013, the currency rose to about $1,000 per unit, though by the end of the following year, the asset dipped into the low $300 range before ultimately falling below $200 in January of 2015. As one can see, this is a four-year pattern that occurs often. Major corrections are then followed by slow and gradual ascensions.
El Salvador was the first nation to declare bitcoin legal tender, doing so in the latter half of 2021. El Salvador has long been dependent on USD to maintain its economic presence, and this was an attempt to wean itself off another nation’s money and garner financial autonomy despite heavy fights from financial institutions like the World Bank.