Thomas Daniels
El Salvador has seen a notable increase in the value of its Bitcoin investments. For the previous two years, these investments were underperforming, staying below their initial purchase price. However, recent data from Nayibtracker shows that the country is now experiencing a rise in value, with unrealized profits of about $12.6 million.
President Nayib Bukele acknowledged this upturn in fortune last month, expressing satisfaction that El Salvador’s foray into the world of cryptocurrency is now yielding profits. The country’s initial investment in Bitcoin began in September 2021, acquiring 700 Bitcoins over two weeks at prices ranging from $47,250 to $52,670 each.
In November 2022, El Salvador further expanded its Bitcoin holdings when the cryptocurrency’s price was around $27,780. This brought the average cost of the nation’s total Bitcoin investment to approximately $42,440. Currently, El Salvador holds 2,798 Bitcoins, valued at around $131.3 million.
The recent rise in El Salvador’s Bitcoin value is attributed to the cryptocurrency’s significant annual increase of 168%. Just yesterday, Bitcoin hit $47,000, a peak it hasn’t reached in nearly 20 months, along with a marked increase in trading volume across various exchanges.
This bullish trend in the Bitcoin market, spurred by factors like the SEC’s approval of the first spot Bitcoin ETF and the anticipated halving event, presents a potentially positive future for El Salvador’s digital asset investments.
