El Salvador Expands Its Bitcoin Holdings with New Purchases Amid Market Dip

El Salvador Expands Its Bitcoin Holdings with New Purchases Amid Market Dip

El Salvador has once again increased its Bitcoin reserves, purchasing an additional 12 BTC as the cryptocurrency market experienced a downturn.

According to the country’s Bitcoin Office tracker, El Salvador acquired 11 Bitcoin on February 4 for approximately $1.1 million, averaging $101,816 per BTC. Later, an additional 1 BTC was purchased for $99,114. With this latest acquisition, the Central American nation now holds a total of 6,068 BTC, valued at over $554 million.

“El Salvador has stacked 21 BTC this week!” the Bitcoin Office announced in a February 4 post on X, highlighting that the country has accumulated 60 BTC over the past month.

“The world’s first Strategic Bitcoin Reserve continues to grow, and so does El Salvador’s success,” the office added.

Bitcoin briefly dipped to a 24-hour low of around $96,000 before rebounding to approximately $98,000, according to CoinGecko data. Despite the recent fluctuations, the cryptocurrency remains below its intraday high of over $100,700.

Bitcoin Purchases Continue Despite IMF Agreement

El Salvador’s latest Bitcoin acquisition comes in the wake of a $1.4 billion financing agreement reached last month between President Nayib Bukele’s government and the International Monetary Fund (IMF). As part of the deal, El Salvador agreed to scale back certain Bitcoin-related initiatives, including making Bitcoin acceptance voluntary for private businesses and reducing government involvement in the Chivo crypto wallet.

On January 29, Reuters reported that El Salvador’s Congress swiftly approved amendments to its Bitcoin laws in line with the IMF agreement, just minutes after Bukele submitted the proposal. However, despite these regulatory changes, the country has remained committed to its Bitcoin strategy.

The day after finalizing the IMF deal, El Salvador purchased an additional $1 million worth of Bitcoin. In late December, National Bitcoin Office Director Stacy Herbert reaffirmed on X that the country’s Bitcoin plans remained unchanged. Additionally, a spokesperson for the Bitcoin Office previously told Cointelegraph that El Salvador intends to continue its Bitcoin acquisitions, with plans to ramp up purchases in 2025.

As the country continues its Bitcoin accumulation, its position as a global leader in state-level cryptocurrency adoption remains firmly intact.