After bottoming out around $16,800, Bitcoin (BTC) has shown resilience throughout 2023, outperforming major tech companies with returns of 153% year-to-date and 143% over the past 12 months.
Despite this impressive performance, the price of the flagship cryptocurrency is still 39% below its all-time high (ATH) level reached in November 2021.
Meanwhile, Bitcoin continues to record new ATHs in Argentina, Turkey, Egypt, Nigeria, Lebanon, and Pakistan.
This is it #Bitcoin Similar is the case for citizens of Turkey, Egypt, Nigeria, Argentina, Lebanon and Pakistan.
combined population
725 million people
Try to convince them that Bitcoin is not useful. Good luck pic.twitter.com/z8poh2C7Wb— Tahini (@TheRealTahinis) December 13, 2023
According to a December 13 post, at some point on December 12, a single Bitcoin reached ATH 15,176,100.12 ARS against the Argentine peso. The value of BTC was 1,202,109.40 Turkish Lira (TRY), 32,703,517.06 Nigerian Naira (NGN), and 1,280,955.47 Egyptian Pound (EGP).
The chart also shows that BTC reached ATH at 622,548,74.67 LBP and 11,736,063.26 PKR against the Lebanese pound and Pakistani rupee respectively.
It is worth mentioning that this figure is identical to the current Bitcoin price.
It is worth noting that the rapid rise of Bitcoin in these countries has resulted in a decline in the value of their currencies due to high inflationary pressures.
Data from the International Monetary Fund (IMF) ranks countries’ inflation rates and annual percentage changes in period-end consumer prices.
According to the chart above, the Zimbabwean dollar currently has the highest annual inflation rate at 396%, followed by the Venezuelan bolivar (250%), the Sudanese pound (238%) and the Argentine peso (135%).
The Turkish lira and Nigerian naira ranked fifth and twelfth, with annual inflation rates of 64% and 30% respectively, according to IMF data.
For most cryptocurrency investors in these countries, Bitcoin has become a reliable store of value and a hedge against soaring inflation.
Many of these countries, including Nigeria and Argentina, have readily adopted cryptocurrencies despite the steady devaluation of their currencies.
Nigeria, Turkey, and Argentina boast the second, 12th, and 15th highest cryptocurrency adoption rates globally, according to a September 12 report from Chainalytic.
Bitcoin adoption in Argentina is expected to get a boost following the election of Bitcoin-backed candidate Javier Mailay in the presidential runoff on November 19.
#Bitcoin This is Argentina’s hope. congratulation @JMiley.
— Michael Saylor⚡️ (@saylor) November 20, 2023
After taking office on December 10, Millay appointed Luis Caputo as economy minister, and he announced on December 12 an “emergency package” aimed at helping Argentina balance its budget by 2024, with the goal of strengthening the peso by more than 50% against the dollar. It was announced that it would be devalued to 800. It appears to have been approved by the IMF.
NEW: Economy Minister Javier Milei announces bold “emergency package” to balance budget by 2024.
Measures include laying off new civil servants, cutting government positions by 34% and canceling all public infrastructure.
approved so far by the IMF pic.twitter.com/MHlIZ79Bz8
— Bitcoin News (@BitcoinNewsCom) December 13, 2023
The IMF called the move “a bold step,” adding that it would “significantly improve public finances by protecting the most vulnerable in society and strengthening the exchange rate regime.”
During the campaign, Millais said he would abolish Argentina’s central bank if he became president.
Related: Bitcoin Derivatives Data Shows $50,000 BTC Price Target for Traders.
Bitcoin Outperforms Tech Companies
During the extended 2022 bear market, Bitcoin continued to decline along with technology stocks. According to a review letter from Pantera Capital, an American cryptocurrency hedge fund, Bitcoin has outperformed everyone except Meta, which has returned more than 172% YTD compared to 162% for BTC.
Over the past year, the price of Bitcoin has fallen to levels similar to those of technology companies. This year was our biggest success yet.
That’s the story of 14 years. #Bitcoin – Higher lows and higher highs every cycle.
This year’s review letter: https://t.co/fy9wy78dVG
I’ll summarize below.
that much… pic.twitter.com/cgvOdHZcBk
— Dan Morehead (@dan_pantera) December 12, 2023
According to Pantera, Bitcoin has rebounded in 2023 due to “a number of significant events” that are “good news” that “the blockchain industry is making meaningful and necessary progress.”
The cryptocurrency hedging company lists a number of these events, including increased institutional adoption of “spot Bitcoin ETFs sponsored by big names in traditional finance such as BlackRock and Fidelity, and Bitwise, a leader in blockchain ETFs.” do. The possible approval of a Bitcoin ETF opens a new channel through which traditional capital can be injected into Bitcoin as “digital gold.”
The letter also cited Judge Analisa Torres’ ruling that . Application. The report points out that this points to a favorable regulatory environment for cryptocurrencies in the U.S. and that further innovation is possible domestically.
In addition to this, the Bitcoin halving event scheduled for 2024 is also contributing to the widespread optimism surrounding the flagship cryptocurrency.
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.