El-Salvador Purchase 21 Bitcoins While BTC Price Nearing $50k! Here’s What Traders Can Expect

In the last 24 hours, the global crypto market capitalization fell 0.38 percent to $2.19 trillion. On the last day, Bitcoin’s market share climbed by 0.30 percent to 40.55 percent, with the price at $46,919.50.

Overall cryptocurrency trade volume climbed by 21.76 percent in the last 24 hours to $95.42 billion. Defi accounted for 15.04 percent of total volume ($14.35 billion), while stable coins accounted for 79.23 percent ($75.60 billion).

El Salvador Purchases Additional Bitcoin

On Tuesday night, President Nayib Bukele stated in a series of tweets that El Salvador had purchased extra 21 bitcoins to honor the twenty-first day of the twenty-first century.

El Salvador’s land area is 21,000 square kilometers, according to Bukele, and the transaction was completed at 21:21:21. The president responded, “Got the receipt,” next to a screenshot of the transactions, which totaled a little over $1 million.

El Salvador had 1,120 bitcoins in its treasury before the purchase, boosting its total to 1,141 bitcoins. It plans to buy another $500 million in the world’s most valuable cryptocurrency by market value, using funds raised through the sale of $1 billion in tokenized bonds.

In September, El Salvador became the first government to recognize bitcoin as a legal tender. The president also wants to create a “Bitcoin City” where people will be tax-free.

Bitcoin price analysis

From the $52,000 barrier zone, bitcoin price began a new downward trend. BTC has moved back into a negative zone, trading below the $50,000 and $48,000 support levels.

The bulls, on the other hand, remained active near $45,500. The price established a base at $45,500 and began a new upward trend. It broke through the level of the crucial drop from the $59,118 swing high to the $42,330 low.

On the 4-hours chart of the BTC/USD pair, there was also a break over a key negative trend line with resistance near $48,000. It is currently trading over $48,000, as well as the 55-day simple moving average (4-hours).

On the upside, the $50,000 level serves as an early resistance. Near the $50,800 level, the biggest resistance is forming.

For a new raise, a close over the $50,800 level is required. In the above scenario, the price is anticipated to climb steadily and may perhaps exceed $52,000.

Near the $48,500 mark, there is the immediate support on the downside. The next important level of support is about $47,000. If the price does not stay over $47,000, it is possible that losses will be extended in the near future. The next key support level is near $45,500, below which a move towards $42,500 is possible.