The El Salvador Bitcoin law is expected to be implemented on September 7. President Nayib Bukele has recently announced that the Chivo Wallet is ready to be used on the same day, allowing users to exchange their BTC for dollars. Although Bukele aims to introduce new advantages of the new asset class to the country, hundreds of protestors recently raised their voices against the new legislation. President Bukele said that the new Bitcoin legislation aims to allow citizens to save on cross-border remittances. According to Bukele, the Latin American country spends over $400 million per year on remittance costs. With the Chivo wallet, Salvadorans who live abroad could use the application to send money back to their family at home. However, the citizens in the Latin American country have spoken out against the new law, as hundreds of protestors went out on the streets to protest, with volatility and instability of Bitcoin as their primary concern. According to Stanley Quinteros, a member of the Supreme Court of Justice’s workers union, the adoption of Bitcoin could damage the country’s finances since there is no method to stabilize the cryptocurrency’s price.

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES :

Bitcoin price has continued to consolidate following its swing high on August 23, reaching over $50,000. The leading cryptocurrency has trended sideways since, unable to sustain its momentum, testing the reliability of support. Until Bitcoin price slices above the aforementioned trend line, BTC could continue to move sideways until the bulls can lift prices higher against the distribution of the sellers.

Bitcoin has found a strong support at 46300 and is hovering above 50% fibb level i.e 47300 which is leading the way for consolidating behavior between 47890 and 49400. A breakout below 47200-46,000 will open the door way for bears to pull the fancy crypto towards 44500 and 42900.

On the upside, Bitcoin price must break above the diagonal trend line at 49880 before tackling the previous high at $50,491. Further buying pressure may push BTC toward the 61.8% Fibonacci extension level at $50,938 prior to aiming for bigger aspirations.

BTCUSD

Aug 30 2021

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