Top cryptocurrency bitcoin (BTC) achieved a record-breaking high against the Argentine peso as the currency continues to decline.
All Time High Since 2017 Bubble
According to a recent Financial Times report, BTC prices hit an astounding 394,000 per coin as of press time. That’s about $8,762.95, a price that has surpassed Argentina’s currency and not experienced since the bubble that occurred as 2017 was ending.
Bitcoin’s all-time price high versus the Argentine peso came amidst a cryptocurrency bull market this 2019, together with the continuous depreciation of the country’s currency against a strong US dollar.
Based on the CNBC charts, the dollar has experienced tremendous growth against the peso over the past year. The recent downturn in the value of the Argentine peso is said to be due to concerns in the approaching presidential election.
IMF on the issue
The International Monetary Fund’s (IMF) has attempted to bolster Argentina’s economy. It has permitted the country’s central bank to utilize IMF funds to intercede in the peso. However, analysts are allegedly wary that the move could backslide if the opposition wins the election this year.
Investors are still showing support for Argentine president Mauricio Macri, but the opposition is said to have rolled-out a peso “democracy discount.”
Major asset manager Amundi is alleged to have noted that asset prices reacted negatively last month to the idea of Cristina Fernandez de Kirchner being back in power.
Argentina’s opposition party is led by presidential aspirant Alberto Fernandez. Kirchner, the country’s left-leaning ex-president is also running as deputy.
Peso VS Dollar
The peso plummeted to new lows versus the dollar in April. This came on the heels of a major value loss in 2018 when the peso and the Turkish lira went down amid expectations of increasing dollar value.