Bitcoin, MicroStrategy, China and The Savior is what's in store for this week.

The bitcoin is the most famous character of the moment as everyone is talking about it at the moment, but despite having started on a bad foot this new week as the price is going down and has continually retreated without being able to get out of the 30K range, the truth is that it is not all bad news as 2 amazing things are happening with bitcoin at the beginning of the week, first, we have Microstrategy that increased its bitcoin buying 13mil units and now is the financial institution with more bitcoin, secondly, El Salvador is experiencing a rise in bitcoin transactions in its territory much higher than the previous month and finally I will also talk about what may happen with the decisions that China is taking concerning bitcoin.

Michael Saylor the big shark

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Today Monday, Michael Saylor surprised everyone with the great news that MicroStrategy had added 13,005 Bitcoins for $489 million in cash at an average price of ~$37,617 per bitcoin to its balance that now is 105,085 bitcoins owned by this technology company, and if we take into account we will see that MicroStrategy is getting closer to achieve dominance of 1% of all bitcoins in circulation, as it currently hovers around 0.56%.

And although the market is in a downtrend, MicroStrategy sees a golden opportunity to continue adding more bitcoin to its portfolio everything they have bought has been at an average price of $26,080 per bitcoin, which leaves an acceptable profit amid this crisis and lets us know why they are so enthusiastic about the continued purchase of bitcoin.

Of course, the criticism was not long in coming, as the pathetic and idiotic skeptic Peter Schiff, responded to Michael Saylor with a bit of criticism of the company's achievement:

That's pretty bearish that you already bought all that #Bitcoin and the price kept dropping anyway.
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But it's important to remember that he who laughs last, laughs best...

El Salvador, remittances and the volume of bitcoin transactions.

El Salvador is a country that is sustained by the remittances sent by its citizens abroad, in fact, this number, which is more than 6,000 million dollars in 2019, represents one-fifth of the country's GDP. Now with the bitcoin law sending remittances to El Salvador will be much simpler and faster.

In fact, in May the number of bitcoin transactions under $1000 increased drastically over the previous year, going from $424,000 in May 2020 to $1.7 million last month, which represents very huge and steady growth for an economy that depends on remittances, Also, if you look at the twitter profile of the president of El Salvador, you will see different videos where citizens go to buy some ice cream and pay with bitcoin quickly and easily.

China is the worst villain of the moment.

A statement issued by the agricultural bank of china, the third-largest in the country, explicitly said that the bank would suspend the accounts of customers who make transactions of virtual currencies and related activities, which caused the price of bitcoin to lose $1000 in a matter of minutes.

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Added to this is the closure of the largest mining centers in the country, which caused the Bitcoin hash rate to fall to levels not seen since mid-2020. And although this may seem very bad for the market, the reality is that it is good news seeing things from another angle, since banning cryptocurrency mining in China, opens the possibility for miners to migrate to more friendly countries with cryptocurrencies such as El Salvador, which will gladly open the doors and represent a great boost for the economy of that country as a function of its new law.

In conclusion

bitcoin and the whole crypto market has an interesting week ahead, as both good and bad news is predicted, which will give us very interesting things such as what will happen with what the FED is doing, but also many of us want to see how things unfold for our ecosystem, as many want to know what will happen with the CUB and the new functions of cubdefi, also about the next hard fork that has been much talked about lately and more. Stay tuned to the leofinance page for more information.

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