Bitcoin price trends higher as Milei's victory in Argentina stokes optimism
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(Kitco News) - Favorable developments continue to bolster the price of Bitcoin (BTC) as Javier Milei's victory in the Argentina presidential election on Sunday contributed to a positive start to the week for the top crypto.
Milei is a pro-Bitcoin libertarian economist who has pledged to get rid of the Argentine peso, re-dollarize the economy, and abolish the country’s central bank in an effort to rein in rampant inflation and restore the functioning of Argentina’s financial markets.
Data provided by TradingView shows that after trending near $36,500 for much of the weekend, Bitcoin began to trend higher on Sunday afternoon as Milei’s victory started to become apparent, climbing above $37,500 late on Sunday evening.
BTC/USD Chart by TradingView
Bears attempted to tamp down the rising optimism, briefly dropping BTC to a low of $36,720 in early trading on Monday. So far, bulls have successfully overcome the attempts by bears and are pushing the price action higher near midday.
At the time of writing, BTC trades at $37,620, an increase of 2.9% on the 24-hour chart.
According to MN Trading founder Michaël van de Poppe, the positive momentum from this and other developments could see BTC climb into the $38,000 to $40,000 range as soon as December.
The theory on #Bitcoin still stands.— Michaël van de Poppe (@CryptoMichNL) November 20, 2023
Upwards trend remains intact, through which the resistance area is getting tested heavily.
I expect a breakout upwards beginning December to $38-40K if this upwards trend remains valid. pic.twitter.com/NEZrBngszR
But the latest Bitfinex Alpha report warned that BTC could continue to trade sideways for the foreseeable future due to uncertainty about how the Federal Reserve will approach interest rates.
“Last week, BTC made a second attempt to break through $38,000, but the momentum was short-lived, as heavy profit-taking was seen in both the futures market – as indicated by negative Cumulative Volume Delta and an 8.7 percent drop in open interest – and in the spot market, where there was a wall of limit sell orders,” the report said.
The analysts noted that “BTC has surged more than 120 percent this year,” and said that while they “expect this trend to continue, we observe that multiple indicators suggest it would be prudent for investors to proceed with caution.”
According to Rich Dad Poor Dad author Robert Kiyosaki, Bitcoin remains one of the best assets available for people to fight hyperinflation and preserve their wealth.
“Germany to celebrate 100 years since 1923, the hyperinflation that brought Adolf Hitler to power,” Kiyosaki tweeted. “Are we about to celebrate hyperinflation too? I hope not.”
“Yet our government leaders are the most incompetent ever,” he said. “Study Germany and Zimbabwe’s hyperinflation and prepare. Food will always be valuable as will guns, gold, and silver. Yet I believe Bitcoin is your best protection because Bitcoin is People’s money which means people control the value of Bitcoin, not our leaders.”