Wednesday morning, Bitcoin was trading at 13% lower than the actual rate.
Bitcoin recovers from an initial plunge as the price stoops to $43,119 from over $53000. The initial rumor regarding El Salvador caused a huge setback to the sales of bitcoin which resulted in the cryptocurrency stooping so low.
According to CoinDesk, Bitcoin has started to recover after the major setback and has been trading at the face price of $45,380 per coin while the other notable cryptocurrencies Dogecoin and Ethereum are trading for 24 cents per coin and $3350 respectively.
El Salvador’s official announcement of adopting Bitcoin as part of its legal tender broke all hell loose. The announcement on Tuesday initiated rowdy protests and anguished debates regarding its impact on the rollout of cryptocurrency. It also caused several technical glitches which made the price stoop low.
Salvadoran president Nayib Bukele shortly after making the announcement stated that the bitcoin app which is backed by the government is not available on several online platforms such as Huawei and Apple. He also stated that the app which is known as Chivo is unavailable on respective platforms and is facing technical issues.
The issues were resolved after the government unplugged it while trying to connect with more servers to increase the capacity of users facilitating at one time.
The Salvadoran president tweeted videos on his social media accounts showcasing the general public of El Salvador using Bitcoin at retail shops in the country, including Starbucks and McDonalds.
The adoption of bitcoin in El Salvador has sparked debate all over the world, creating a nuisance in the cryptocurrency market. It has impacted heavily on the coin currency which has been trading 13% lower than its face price on Wednesday.
According to the financial analysts, this sudden retreat in the market is mainly because of the investors which were affected by the El Salvador move of adopting the cryptocurrency as legal tender.