Bitcoin Crash Causes IDR 5.7 Quadrillion Disappear From The Crypto Market, Choose Hodl Or Save IDR?

Bitcoin price drops after El Salvador announced it became the official medium of exchange (Morningtick)

JAKARTA – The price of bitcoin plunged after El Salvador inaugurated BTC as the country's official payment instrument on Tuesday, September 7 yesterday. At that time President Nayib Bukele decided to buy 150 BTC. The price of bitcoin actually fell even deeper and prompted investors to sell their BTC holdings.

According to a Forbes report, the mass sell-off has removed $400 billion (approximately IDR 5.7 quadrillion) from the crypto market. The value of the world's cryptocurrencies fell to a low of around 1.9 trillion US dollars.

The decline in the price of Bitcoin was followed by leading altcoins such as Ethereum, Cardano, and various other cryptocurrencies. When the price of Bitcoin falls, other cryptocurrencies also fall.

As of this writing, data from CoinMarketCap reports that BTC is down 13.41 percent in the last 24 hours. While in one week bitcoin has decreased by 5.3 percent. On Tuesday morning, September 7, 2021, bitcoin was still at a price of Rp. 745 million, today it has dropped to a price of Rp. 649 million. The decline caused a loss of 410 billion US dollars (Rp 5.8 quadrillion).

While Ethereum (ETH) is down 15 percent, Binance Coin (BNB) is down 19 percent, and Cardano (ADA) is down 15 percent. Some time previously the three coins experienced an astonishing increase of nearly 36 percent in the past week.

During the market crash, El Salvador President Nayib Bukele decided to take advantage of the situation by buying an additional 150 BTC of bitcoin. El Salvador's bitcoin holdings increased to 550 BTC for a total of 25 million US dollars (Rp 356 billion).

Negative sentiment emerged after the El Salvador wallet experienced a technical breakdown on Tuesday. This forced President Bukele to announce a temporary closure. The sentiment then turned to a number of issues such as massive institutional stock sales, brief blackouts, and suspension of trading on some of the world's leading crypto exchanges such as Coinbase, Kraken, and Gemini.

On the other hand, some of the people of El Salvador also protested against bitcoin as a medium of exchange. They waved banners and posters with the BTC symbol crossed out.