Bitcoin now surges above $110k following the Paraguay’s President’s hacked account claiming BTC as legal tender.
In a dramatic turn of events, Bitcoin (BTC) has surged past the $110,000 mark, driven by a controversial post from the hacked account of Paraguayan President Santiago Peña.
The post, which falsely claimed that Bitcoin had been recognized as legal tender in Paraguay, sparked a significant spike in market activity, underscoring the ongoing volatility and intrigue within the cryptocurrency landscape.
The Incident: A Hacked Announcement
On June 10, 2025, President Peña’s X account was reportedly compromised, leading to a misleading post that suggested Bitcoin had been approved as legal tender in Paraguay, accompanied by claims of a $5 million Bitcoin reserve.
The post urged followers to “secure your stake in Bitcoin now” and included a wallet address for transactions.
Minutes after the announcement, the official account of the presidency quickly flagged the information as false and removed the post.
Despite the swift action by officials, Bitcoin’s price reacted immediately, rising by 4% on the day, reflecting both speculative trading and heightened interest from investors.
Fortunately, there have been no reports of financial losses from this incident, although the wallet address mentioned in the post was noted to have contained only $4.
A History of Hacking Incidents
This is not the first time that a high-profile account has been hacked to promote fraudulent Bitcoin schemes.
Previous incidents have involved notable figures, including former U.S. Presidents Joe Biden and Barack Obama, whose accounts were also compromised in attempts to scam their followers.
Market Reaction: A Surge Amidst Uncertainty
The price surge of Bitcoin above $110,000 coincided with broader positive sentiment in the cryptocurrency market, fueled by developments in U.S.-China trade talks.
A recent meeting in London between U.S. delegates, including Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent, and Chinese representatives, led by Vice Premier He Lifeng, aimed to resolve ongoing tariff issues.
This diplomatic engagement has provided a backdrop of optimism that is spilling over into the cryptocurrency markets.
Ripple Effects on Other Cryptocurrencies
Following Bitcoin’s surge, other major cryptocurrencies also experienced gains.
Ethereum (ETH) rose by 7%, while Solana (SOL), XRP, and Cardano (ADA) saw increases of 5%, 6%, and 6%, respectively.
This collective movement suggests a bullish trend across the market, driven by both speculative trading and recent positive developments.
The Broader Implications of Legal Tender Status
While the claim regarding Bitcoin as legal tender in Paraguay was quickly debunked, the idea of a sovereign nation adopting Bitcoin as an official currency continues to capture the attention of investors and analysts alike.
The concept raises questions about the future of digital currencies in global finance and the potential for increased adoption by governments seeking to modernize their economies.
Future Prospects for Bitcoin
As Bitcoin continues to navigate through its volatile landscape, analysts remain divided on its future trajectory.
Some see the recent surge as indicative of a broader trend toward acceptance and integration of cryptocurrencies into mainstream finance, while others caution that such price spikes can be driven by speculative trading, as demonstrated by the recent hacking incident.
Regulatory Landscape and Investor Sentiment
The regulatory environment surrounding cryptocurrencies remains uncertain, with varying stances from governments worldwide.
As countries explore the potential of digital currencies, the conversation around regulation, security, and market manipulation is likely to intensify.
Investors are advised to remain vigilant and informed as these discussions unfold.
Navigating the Future of Bitcoin
The recent surge in Bitcoin’s price highlights the currency’s ability to evoke strong market reactions, even in the face of misinformation.
As the cryptocurrency landscape continues to evolve, the intertwining of geopolitical developments, regulatory changes, and technological advancements will play a pivotal role in shaping the future of Bitcoin and its peers.
Back to Daily Market News.
Follow Frank Nez on X and Facebook for more community insights.
Also on CoinMarketCap & CoinPedia.
Announcement: PR Newswire formally announces Frank Nez’s Journalist Verification on Muck Rack, solidifying our position in independent media.
About The Author
