El Salvador Adds 12 BTC Amid Market Dip, Reaffirms Crypto Commitment

El Salvador has once again purchased 12 BTC on February 4 amid a brief market downturn. The country’s Bitcoin Office tracker confirmed that 11 BTC were acquired for just over $1.1 million at an average price of $101,816 per coin, followed by an additional BTC purchase for $99,114.

This latest acquisition brings the total Bitcoin holdings of the Central American nation to 6,068 BTC, valued at over $554 million. The purchase follows President Nayib Bukele’s announcement last month of a $1.4 billion financing agreement with the International Monetary Fund (IMF), which required El Salvador to scale back certain Bitcoin-related activities.

Legislative Changes in El Salvador Bitcoin Policies

In response to the IMF deal, El Salvador made several changes to its Bitcoin policies . One of the key adjustments involved making Bitcoin acceptance voluntary for private businesses, reversing the previous requirement for mandatory acceptance. Additionally, the government agreed to reduce its involvement in the Chivo wallet, a state-sponsored crypto payment platform.

Despite these concessions, El Salvador’s Bitcoin buying spree continues unabated. The country has accumulated 21 BTC this week alone and 60 BTC in the last 30 days, according to data shared by the National Bitcoin Office on X. “The first Strategic Bitcoin Reserve in the world keeps growing, and so El Salvador keeps winning,” the office declared in a February 4 post.

Bitcoin Market Movements

Bitcoin’s price dipped to a 24-hour low of around $96,000 before rebounding to approximately $98,000. While still down from its intraday high of over $100,700, El Salvador capitalized on the market dip to expand its Bitcoin reserves.

The decision to continue buying Bitcoin despite the IMF deal highlights President Bukele’s steadfast belief in the long-term value of digital assets. National Bitcoin Office Director Stacy Herbert stated in a December that El Salvador’s crypto ambitions remain intact, even amid international scrutiny.

As one of the most prominent state actors involved in Bitcoin adoption, El Salvador’s approach continues to be a point of interest for global financial markets.