Today, the price of Bitcoin has made a sharp decline from a daily high of $ 48,234. Amid a fall of 5%, El Salvador has taken the opportunity to increase its holdings of Bitcoin (BTC). In one of his Twitter tweets, President Nayib Bukele announced that they had bought 150 BTC worth $ 6.8 million.
We just bought the dip.
150 new coins!
El Salvador now holds 700 coins.#Bitcoin🇸🇻
- Nayib Bukele 🇸🇻 (@nayibbukele) September 20, 2021
El Salvador now holds a total of 700 BTC where they started making purchases in the second week of September after Bitcoin was officially entered as a valid tender. The President also gave the view that so that investors do not panic in the midst of falling prices.
El Salvador passed the Bitcoin bill in June of this year and made it a valid tender on September 12th. However, the use of BTC in the country has not been fully utilized.
El Salvador is facing pressure from the world bank and the IMF warning the small Central American country of economic catastrophe due to the use of BTC and also refusing to help El Salvador. In addition, several rating agencies including Fitch and Moody’s downgraded Salvador’s credit rating.
At the same time, there was opposition among the people of El Salvador and demonstrations that led to the burning of Bitcoin ATM machines. But Bukele thinks it is just an isolated case because the majority of the people agree with the decision taken and they use BTC for their daily needs. Bukele also informed Chivo’s official Bitcoin wallet app had over half a million downloads within two weeks of use.
El Salvador not only took the bold step of using Bitcoin domestically but also triggered the Domino effect on other countries experiencing financial difficulties to switch to alternative financial systems.
