TL;DR
- El Salvador’s aggressive Bitcoin accumulation strategy has reached a new milestone of 6,000 BTC, solidifying its position as one of the top Bitcoin holders globally.
- The country’s consistent Bitcoin purchases, including recent significant buys, have increased its Bitcoin stash to over $570 million, reflecting substantial growth.
- Despite initial skepticism and controversy, El Salvador’s Bitcoin strategy has yielded positive results, with the country currently sitting on $157 million in profit from its Bitcoin purchases.
El Salvador’s government, led by President Nayib Bukele, has continued its aggressive Bitcoin accumulation strategy, reaching a new milestone of 6,000 BTC. This achievement solidifies El Salvador’s position as one of the top holders of Bitcoin globally, joining the ranks of the United States, the United Kingdom, and Bhutan.
The country’s consistent approach to building a Bitcoin reserve has been a cornerstone of Bukele’s vision to establish El Salvador as a leader in the crypto industry.
Recent Purchases and Market Impact
According to recent data, El Salvador added another Bitcoin to its reserve in the past 24 hours, acquired at $94,702, pushing the total holdings to 6,000.77 BTC. This growth has been consistent, with the country purchasing around 50 BTC since the beginning of December.
Notably, on December 20 and December 22, El Salvador made significant purchases of 11 BTC each day. At the time of writing, the country’s Bitcoin stash is valued at over $570 million, reflecting a substantial increase in value over the past three months.
Strategic Vision and Skepticism
Despite initial skepticism from international organizations and financial experts, El Salvador’s Bitcoin strategy appears to have yielded positive results. The country’s Bitcoin portfolio reached a peak value of $643 million on December 17, when Bitcoin’s price peaked at $108,135.
According to data from NayibTracker, El Salvador is currently sitting on $157 million in profit from its Bitcoin purchases, having bought its 6,000 BTC at an average price of $45,465.
However, the strategy has not been without controversy. The International Monetary Fund (IMF) recently reached an agreement with El Salvador to scale back its Bitcoin purchase trends to secure funding. Despite this, El Salvador doubled down and bought 11 more BTC just days after the agreement.
Future Outlook
Looking ahead, El Salvador’s Bitcoin strategy remains a key component of its economic vision. The country’s National Bitcoin Office Director, Stacy Herbert, indicated that El Salvador might continue to buy Bitcoin at an accelerated pace. Technical analysis suggests that Bitcoin is on track to reach new highs by 2025, with peak price targets ranging from $150,000 to $1 million.
