For the president of El Salvador: “Investing in bitcoin is safe” | salvador

Right now the cryptocurrency market is going through one of the toughest times in recent years. The fall in the price of major cryptocurrencies has caused a lot of intrigue among investors of different levels and different market analysts have assured that we have already entered the winter of the cryptocurrency market accompanied by other problems.

In the midst of such chaos and with investors having more questions than answers, the president of El Salvador has sent a message that may sound a bit odd. On June 20, the President brought up the subject of bitcoin and its investment and commented that he observes how some people are too worried or anxious about the price of bitcoin right now, which is the lowest in more than a year.

Faced with this situation, the president gave advice to all investors, to stop looking at the charts and enjoy life. To this recital, it asserts that if someone has invested in bitcoin, their investment is completely safe. Further, he comments that the price of the market-leading cryptocurrency will rise after the bear market.

For the President of El Salvador, patience is key, which is why he said those who have invested in cryptocurrencies in the past need not worry. The problem is that the losses have been quite large and many market analysts do not consider bitcoin investing as safe as the Salvadoran president claims.

Also, statements like this can be quite damaging and while it’s a way of trying to keep investors calm, it doesn’t give them a real insight into what’s going on in the market. . It is a fact that the market is going through a difficult period and, although the possibility of growth is always present, it is not known if and when it will really transpose.

Is investing in bitcoin really safe?

If you ask the president of El Salvador, he assures you that bitcoin investments are completely safe. It’s not really surprising because it already has some history with cryptocurrencies and especially bitcoin. Recall that last year, it passed a law that made bitcoin a legal tender.

At the time, public opinion did not agree, but despite this, the president did not stop and the law went into effect. After the start of the law enforcement, the price of bitcoin rose and reached a new high almost at the end of the year. At that time, everything seemed to be going pretty well until 2022 rolled around.

From the first minutes of 2022, the price of bitcoin and other cryptocurrencies began to fall, which was a clear sign of what was to come. Today, in the middle of the year 2022, we can realize that autumn has been quite harsh and winter has come to the market.

Claiming that investing in bitcoin is a “safe bet” could be quite dangerous, especially considering that it is an investment in which a large amount of money can be lost. very little time. For some, what the president of El Salvador has done is a strategy to try to calm the waters, but in reality he cannot ensure that investing in bitcoin is safe because it offers stability, profits and protection and if we see how much El Salvador and its investors have lost, we do not realize that there has been a lot of instability, losses and lack of protection for the investor.

Will bitcoin recover?

The possibility of bitcoin recovering is always present. Whether it’s the hope of investors or the inevitable fluctuations. The fact is that the president of El Salvador said that bitcoin is growing after the bear market. So far, we don’t know how long this bear market will last. The losses could therefore be much greater, which clearly disadvantages investors of all levels, but especially small investors.

Now, ensuring that the value of bitcoin will increase is quite risky, because in reality, no one has the ability to predict with certainty what will happen to the value of cryptocurrencies, let alone bitcoin, which is the most important and the one that shows signs of the greatest fluctuation. The president is somehow right that patience is important in the market, but his approach to the speech is somewhat distorted.

At the moment, it is unclear what will happen to cryptocurrencies, but there is always hope for a recovery. But for now, the chances of falling are greater.

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