Argentina elected Pro-Bitcoin President

After elections, president sparks crypto rally: price up by 2 percent

In a landmark political development in Argentina, the country has been enveloped in a wave of excitement following the unexpected victory of Javier Milei, a candidate known for his far-right libertarian views, in the presidential election. This event has had a significant ripple effect, notably in the world of cryptocurrency, where Bitcoin experienced a notable surge, increasing by 2% and surpassing the $37,200 threshold.

The triumph of Milei, a fervent proponent of Bitcoin, has been received with great enthusiasm by the cryptocurrency community. Milei, known for his vocal criticism of central banking systems, which he often refers to as fraudulent, secured a decisive victory, garnering a substantial 55% of the total votes. This result, announced as the vote counting reached 99%, puts him nearly 3 million votes ahead of his nearest rival^[1].

As Milei prepares to assume office on December 10, there is a heightened sense of anticipation within the cryptocurrency sector regarding the policies and initiatives he might introduce. His stance on Bitcoin and critical view of traditional financial systems have sparked speculation about potential changes in Argentina's approach to monetary policy and cryptocurrency.

As Argentina prepares for Milei's presidency, the nation and the global financial community await with keen interest to see how his economic policies, particularly regarding Bitcoin and traditional banking systems, will unfold in the face of Argentina's challenging economic landscape.

J. Milei openly criticized the Central Bank of Argentina

Argentina is currently grappling with severe economic challenges, including an alarming annual inflation rate of 140% for its currency, the peso. Many observers believe that Milei's electoral success might herald a shift in the country's financial landscape, particularly given his advocacy for Bitcoin as a hedge against inflation. Although Bitcoin has not yet been recognized as the official currency in Argentina, Milei's ascent to power has fueled hopes for a paradigm shift in the nation's monetary strategies.

In the broader context of the cryptocurrency market, Bitcoin is on the cusp of its next halving event, a situation that has been met with optimistic projections from renowned analysts. Ali Martinez, a well-respected figure in the field, anticipates a bullish trend for Bitcoin, with some analysts predicting an extended bull run that could last up to 700 days, potentially until October 2025. Similarly, Captain Faibik, another prominent crypto analyst, has projected a possible surge in Bitcoin's value to $50,000 before the fourth halving, as per insights from a report by Coinpedia.

At present, with Bitcoin hovering around $37,117, its fluctuations are being closely monitored, not only for their own significance but also for the potential impact on the broader altcoin market. The developments in Argentina, coupled with these market dynamics, present an intriguing scenario for both political and financial observers, keen to see how Milei's presidency will influence the interplay between national policies and global cryptocurrency trends.

Argentina has recently experienced a significant political upheaval with the election of Javier Milei, a figure known for his pro-bitcoin stance and far-right populist ideologies, as its president. Milei, a staunch critic of central banks, clinched a commanding victory in the presidential run-off held on November 19, securing 55% of the votes, placing him nearly 3 million votes ahead of his closest competitor.

"The return of money to its original creator" and the future of Bitcoin

This outcome signals a major shift in Argentina's political landscape, largely driven by Milei's vehement opposition to the central bank, which he denounces as a fraudulent scheme used by politicians to impose inflationary taxes on citizens. His perspectives have gained traction, especially in light of Argentina's severe inflation crisis, characterized by an alarming 140% annual inflation rate of the Argentine peso over the past year^[2]

Milei's ascent to the presidency is not merely a political triumph; it potentially heralds a new era for bitcoin in Argentina. The president-elect perceives Bitcoin as a pivotal tool for economic rejuvenation, advocating for the transfer of monetary control back to the private sector. It is noteworthy, however, that Milei has stopped short of proposing Bitcoin as legal tender in Argentina.

Adding to the complexity of Milei's economic approach is his previous tenure as Chief Economist at Corporación América International and his association with the World Economic Forum. These roles, traditionally linked to conventional finance, contrast sharply with his current advocacy for bitcoin. This juxtaposition between his past engagements in traditional economic systems and his present libertarian ideology centered around bitcoin as legal tender introduces intriguing nuances to his economic policies.

The stark contrast in economic philosophies was also evident in the presidential race, particularly between Milei and his opponent, Sergio Massa, the current Minister of Economy. Massa's proposal to introduce a central bank digital currency as a solution to Argentina's inflation crisis highlighted the differing economic strategies within the country's political discourse.