TL; DR Breakdown
- El Salvador buys 150 Bitcoin after the market crash
- Bitcoin declines heavily in the recent crypto crash
- Bukele continues to float the idea of a Bitcoin city
The crypto market is currently bleeding heavily as digital assets have continued to undergo bearish runs since yesterday. While some have tied it to the omicron issue, others have said it is just a normal market situation. This is the biggest decline run that traders in the market will be witnessing since Bitcoin shot up to claim its all-time high of about $68,000. However, that doesn’t seem to faze El Salvador as the country has taken advantage of the Crypto crash to add another 150 Bitcoin to its portfolio.
Bitcoin declines heavily in the recent crypto crash
In the recent statement that was shared, El Salvador president Nayyib Bukele announced the purchase of 150 units of the leading digital asset that was just purchased. It is safe to say that El Salvador acted in time to take in more Bitcoin as the market crash pushed the asset’s price well under $50,000 per coin.
After El Salvador purchased its 150 Bitcoin at $48,670 per unit, the price of the asset tumbled heavily, declining about 37% to trade at $42,000. Presently, Bitcoin is bleeding heavily as the asset has lost more than 15% of its previous value, and it is currently trading at $47,594. Bukele took to Twitter to vent his frustrations after realizing he could have waited and gotten the assets at a cheaper price.
Bukele continues to float the idea of a Bitcoin city
This recent purchase amidst the Crypto crash puts the total value of the Bitcoin in El Salvador’s custody to a region of around 1,270 Bitcoin. At the time of writing, the total worth of the said Bitcoin is around $60.3 million. The country’s President first took advantage of the first Crypto crash it witnessed after showing support for the asset.
During the period, El Salvador gathered around 420 Bitcoin into its portfolio. El Salvador says it aims to withdraw its gains from the Bitcoin in its reserve while still keeping the worth of the reserve intact. Taking a step further, El Salvador unveiled plans to float a Bitcoin city some months back. During the period, Bukele mentioned that the funds to build the city from the ground up would be sourced from bonds backed by Bitcoin.
Giving an insight into how he wants the city to run, Bukele said the city would combine digital education with technology. Geothermal energy will also be used to power the whole city. Bukele also said he intends to build a city where its transport system will be efficient. Also, El Salvador has entered into partnerships with top crypto companies as it continues to push to realize its dream of a Bitcoin city. Bitfinex and Blockstream are two of the few companies it has contracted to push the idea further.