Key Points
- El Salvador has purchased over 20 BTC in the past week, bringing its total holdings to 6,068 BTC.
- The country has shifted from its “1 Bitcoin a day” program to a more aggressive accumulation strategy.
El Salvador continues to aggressively buy Bitcoin (BTC), with over 20 BTC added to its reserves in the past week.
The country’s Bitcoin Office data reveals that on February 4th, 12 BTC were added through two separate purchases. Initially, 11 BTC were bought for approximately $1.1 million, averaging $101,816 per BTC. A few hours later, 1 BTC was purchased for $99,114.
El Salvador’s Bitcoin Holdings
These recent acquisitions increase El Salvador’s total Bitcoin holdings to 6,068 BTC, valued at over $592 million at the time of reporting. Over the past month alone, the country has added 60 BTC to its reserves.
El Salvador’s Bitcoin purchases were made as the cryptocurrency struggled to surpass $100,000, following market instability caused by recent tariff shocks. On February 4th, Bitcoin dropped to a low of $98,361, as per CoinGecko data.
Change in Bitcoin Accumulation Strategy
El Salvador started accumulating Bitcoin under its “1 Bitcoin a day” program in 2022. This initiative was launched after President Nayib Bukele officially recognized Bitcoin as a legal tender, marking a historical moment.
However, the country has shifted from this strategy, opting for a more aggressive Bitcoin accumulation approach. This change was first noted by Stacy Herbert on December 19, shortly after El Salvador secured a $1.4 billion loan from the International Monetary Fund.
The loan agreement required El Salvador to modify some of its Bitcoin-related policies. Consequently, the country made Bitcoin acceptance optional and agreed to phase out the state-backed Chivo wallet.
Other countries are observing El Salvador’s Bitcoin strategy and considering building their own reserves. The United States is among the most notable, with countries like Brazil, the Czech Republic, and Poland also considering the idea.
