El Salvador Buys Bitcoin When It Enters The Lowest Price, Now Collects 1.801 BTC

El Salvador adds to its bitcoin collection as its price plummets. (photo: doc. unsplash)

JAKARTA – The government of El Salvador has again added its Bitcoin collection of 410 Bitcoins to its central reserve. This step was taken by the Latin American country because the price of BTC traded weakened below 37.000 US dollars. This is the lowest price to appear since July 26, 2021.

A new addition to El Salvador's BTC reserves was announced by President Nayib Bukele who confirmed that the purchase of 410 BTC was made with disbursement of 15 million US dollars, at a price of around 36.585 US dollars per BTC.

El Salvador adopted BTC as legal tender on September 7, 2021, as a means to tackle inflation amid the country's weakening purchasing power. As of today, the country has strategically amassed 1.801 BTC over the past four months, especially when the market experienced a momentary price drop.

This latest purchase is the cheapest acquisition from the government of El Salvador since the country adopted BTC as legal tender.

With BTC trading just above the USD 36.000 mark and selling proceeds, Bukele believes that “some people are selling very cheaply,” in fact supporting his long-term vision of mainstream adoption of Bitcoin in his country.

Data from Cointelegraph Markets Pro and TradingView shows BTC has seen steady gains in price since mid-July, resulting in a record high of nearly $69K in the first week of November. However, the next three months saw a sharp drop in the market price as investors shifted BTC profits to buy other tokens.

A new report from Crypto.com predicts that the global crypto market will host one billion users by the end of 2022 as more developing countries imitate El Salvador's move to mainstream BTC adoption.

As Cointelegraph reports, Crypto.com estimates that “If we expect the same rate of increase in 2022, we are well on track to reach 1 billion crypto users by the end of 2022.”

The report concludes that the combination of developing countries following El Salvador and a “friendly attitude” towards the crypto industry means that “countries can no longer ignore the growing push towards crypto by the public.”