Summary:
•El Salvador’s President Nayib Bukele reiterated the country’s commitment to buying one Bitcoin per day. , despite initial criticism.
• The plan was announced in November 2022 as part of a dollar-cost averaging program that has proven successful as the price of Bitcoin soared. .
• El Salvador’s total Bitcoin holdings, including purchases through various channels, now reach 5,690 coins, valued at $3.94 billion.
El Salvador’s President Nayib Bukele has reiterated the country’s commitment to purchasing one Bitcoin per day.
Bukele disclosed the transaction receipts for the day's purchases, reflecting the country's continued commitment to the initiative.
One Bitcoin a Day Proves Success
In November 2022, Bukele announced a dollar-cost averaging (DCA) plan for El Salvador. At the time, he pledged to buy 1 Bitcoin per day as part of the country’s pro-cryptocurrency policy.
Although criticized by multiple international financial organizations due to the bearish performance of the crypto market at the time, this decision has proven to be a strategic success. Bitcoin’s recent appreciation has resulted in significant unrealized profits for El Salvador.
As a result, President Bukele confirmed that El Salvador will continue its Bitcoin DCA strategy indefinitely. Data shows that the country has spent more than $15 million acquiring 485 BTC through this method, with an average purchase price of $30,985. As of now, the value of this batch of Bitcoins alone exceeds $33 million.
“The one Bitcoin per day plan will continue until Bitcoin becomes unaffordable with fiat currencies,” Bukele said.
Notably, if Salvador’s previous Bitcoin purchases and Bitcoin income earned through other channels such as citizenship programs are taken into account, its total holdings are 5,690 BTC, worth $387.88 million.
Whales continue to accumulate BTC
Bukele's comments reflected the general sentiment. Over the past few weeks, Bitcoin whales have been eager to increase their holdings. Santiment’s on-chain data shows that wallets holding 10 to 10,000 BTC have actively accumulated 154,160 BTC in the past five weeks, worth $10.6 billion.
These purchases have significantly contributed to Bitcoin’s recent price surge.
Santiment said, “In the past 5 weeks, major Bitcoin stakeholders have played a major role in the second wave of total market capitalization growth. Since February 4, wallets holding 10-10K BTC have accumulated 1.5416 million Token (0.665% of supply) currently worth over $10.9 billion."
During this period, MicroStrategy adopted a debt financing strategy to purchase more than 12,000 BTC for $821 million. Still, the company is actively seeking to raise up to $600 million through a convertible bond offering to expand its existing reserves of 205,000 BTC. #萨尔瓦多 #比特币
