Residents of Argentina began to invest more actively in bitcoin after the country’s central bank reduced the monthly limit for buying US dollars by 98%.
Starting October 28, individuals can buy no more than $ 200 per month if they have a bank account, and receive no more than $ 100 in cash. The previous limit was $ 10 thousand and was introduced due to a significant outflow of capital from the country amid the collapse of the Argentine peso and an increase in annual inflation to 50%.
Although the reduction in the Central Bank’s reserves and severe restrictions on the purchase of the dollar are temporary and will be revised again on December 1, such measures have increased the citizens interest in the cryptocurrency market, in particular in bitcoin.
It is worth noting that while trading volumes in the local digital currency market are insignificant compared to the total turnover, therefore, they practically do not affect the general dynamics of the exchange rate. However, many supporters began to actively talk about the benefits of transition and use of decentralized assets.
The unstable situation in other countries of the world also has a positive impact on the bitcoin popularity, for example, the approach of Brexit makes the British more friendly with respect to cryptocurrencies.