The main cryptographic asset in the industry is affected by market agents and also, in Argentina, the price is affected by the economic situation that affects the country. in such a way that while bitcoin lateralizes and fluctuates temporarily downward, in the South American country it continues to rise in price.
The Argentine economy is going through quite high inflation levels, the latest official figures have revealed that for the month of April monthly inflation closed in the City of Buenos Aires at 8.4%.which has generated more financial instability in that country.
This is just one of the variables that affects the country’s economy. The shortage of foreign currency has led the Central Bank of the Argentine Republic to raise interest rates once again. This in search of the support of the International Monetary Fund and thus ensure a disbursement that allows to calm the markets in that country.
Faced with this daily uncertainty, bitcoin, not being officialized as legal tender or as a mode of exchange, is quoted at the value of the informal dollar.
Historical price of the informal dollar in Argentina – Source: Ámbito
In fact, the data shows that the informal dollar in the last 30 days has increased from 400 Argentine pesos per US dollar to 488 Argentine pesos per US dollar.
This situation is directly affecting the price of bitcoin, which has been fluctuating for three months, starting at $22,000 and going up to a little over $30,000.
Historical bitcoin price – Source: TradingView
Given this scenario, the price of bitcoin in Latin America has behaved differently, with specific cases of fluctuation in the local market of each country that we show in the image below, but in all cases, the Argentine market is in constant fluctuation.
Bitcoin price fluctuation in Latam – Source: Coinmonitor.info
As can be seen in the previous image, the fluctuations of the cryptocurrency in the South American country are evident, in addition to the fact that it is not subject to the only conditions of the general market.
On the contrary, the constant financial and exchange rate adjustments have generated instability in the market, which has relaxed in price, taking bitcoin from 12,683,100 Argentine pesos for May 16 to the price of 13,192,700 Argentine pesos.
Bitcoin price – Source: Coinmonitor.info
It is evident that in Argentina bitcoin is subject to the country’s economic crisis and the value of the informal dollar price, therefore, even the measures adopted by the BCRA, ultimately, impact the country’s economy and, as mentioned , this is directly affecting the price of bitcoin in Argentina.
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