|

Bitcoin price attempts recovery as Central African Republic adopts BTC as legal tender

  • The Central African Republic has adopted Bitcoin as legal tender, making it the second country in the world to accept BTC. 
  • Lawmakers at CAR unanimously approved a bill that legalized the use of cryptocurrencies in the country and made Bitcoin and the CFA Franc legal tender. 
  • Analysts believe Bitcoin price is in the final step before a massive rally, set target at $49,000. 

Bitcoin price could recover from its recent pullback with several bullish updates across the BTC ecosystem. Many analysts are bullish on Bitcoin price and predict a run to $49,000. 

Bitcoin price could make a comeback following bullish announcements

Bitcoin price is on track to recover recent losses with a bullish turn of events. The Central African Republic, a landlocked African nation, announced its acceptance of Bitcoin as legal tender alongside the CFA Franc. 

This decision is a watershed moment for BTC holders as CAR is the second nation in the world to adopt Bitcoin alongside its fiat currency. Lawmakers at CAR made the unanimous decision to welcome BTC and identified it as a legal method to make payments across the country. 

Back in September, El Salvador’s announcement of recognizing BTC as legal tender in its country fueled a bullish sentiment among retail and institutional investors worldwide. Proponents expect CAR’s announcement to have a similar impact on Bitcoin price. 

Currently, two other catalysts are driving the Bitcoin price. Fidelity Investments, an American brokerage firm, revealed plans to roll out Bitcoin investing for 401(k). MicroStrategy, famous for its aggressive Bitcoin accumulation, announced plans to offer employees access to Bitcoin retirement plans through Fidelity’s service. 

Another exciting investment product, a hybrid ETP that includes both Bitcoin and Gold, was launched by 21Shares; this could offer investors a hedge against inflation. 21Shares and ByteTree revealed BOLD ETP comprises 18.5% Bitcoin and 81.5% Gold. 

Proponents believe the introduction of several Bitcoin-based and backed investment products in the market and the asset’s acceptance as legal tender are significant events that could contribute to a price hike in BTC. 

@TATraderAlan_, a crypto analyst and trader, believes Bitcoin price is in the last step before breaking out in a massive uptrend. The analyst has set a bullish target of $49,000 for the Bitcoin price. At time of writing, BTC/USD is trading at the $39,000 area.

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

More from Ekta Mourya
Share:

Editor's Picks

Crypto Today: Bitcoin, Ethereum, XRP recovery slows amid incessant capital outflows

The cryptocurrency remains in a broader corrective bias on Friday, despite majors such as Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) holding slightly higher than early-week support levels.

Cardano: Whale selling, cautious derivatives limit ADA rebound

Cardano is trading near $0.170 at the time of writing on Friday after staging a modest rebound from last week's sharp correction. However, the recovery remains fragile as large holders have resumed reducing their positions, adding fresh selling pressure to ADA.

Experts agree: Bitcoin nears bottom, but weak demand raises doubts

Bitcoin (BTC) is trading above $63,000 at the time of writing on Friday after rebounding from the key 200-week Simple Moving Average (SMA) near $62,000, a level widely viewed as key long-term support.

Pi Network Price Forecast: Bulls attempt comeback as bearish strength fades

Pi Network is trading at around $0.120 on Friday after a modest recovery the previous day. Despite this recent rebound, traders should be cautious as a scheduled unlock of 14.8 million PI tokens on Friday could limit the token's recovery potential by increasing market supply.

Experts agree: Bitcoin nears bottom, but weak demand raises doubts
Bitcoin (BTC) is trading above $63,000 at the time of writing on Friday after rebounding from the key 200-week Simple Moving Average (SMA) near $62,000, a level widely viewed as key long-term support. The recovery may suggest that Bitcoin has found a floor after a sharp correction that spanned more than a month, but some warning signs persist.