CNN

By Anneken Tappe

It’s a volatile day for bitcoin, which briefly fell by about 10% Tuesday — below the $43,000 mark.

The drop comes after El Salvador made good on a plan announced in June and adopted the cryptocurrency as legal tender, making it the first country in the world to do so.

That’s good news for the mainstreaming of bitcoin. But the crypto fell Tuesday on the “buy the rumor, sell the news” phenomenon related to the Salvadoran policy finally coming to be, said Edward Moya, senior market analyst at Oanda.

The Central American nation had bought 200 bitcoins previously, and it purchased another 200 late Monday ahead of the formal adoption plus another 150 on Tuesday, bringing the country’s total to 550 bitcoins. It will also give residents $30 worth of bitcoin with the download of the state-run Chivo wallet app to incentivize citizens to try crypto payments.

Bitcoin had traded as high as nearly $53,000 per…

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