The powerful rise in the price of Bitcoin in recent days caused a strong increase in the valuation of El Salvador’s portfolios. In this way, the dollar expression of the BTC of the Central American nation amounts to about $525 million dollars. This is a confirmation of the correct policy of approaching the largest Cryptocurrency.
The decision of the small Spanish-speaking country to approach BTC was widely criticized by the IMF and the WB. Although these organizations softened their stance, El Salvador’s purchase policy remained firm with the purchase of 1 BTC per day. Thus, now the confidence of the country’s authorities in the digital currency seems to be paying off.
The president of that country, Nayib Bukele, celebrated the rise of BTC with a short and forceful I told you so. It is important to remember that the internal Salvadoran opposition, mainly the left, is also deeply critical of the bitcoin purchase strategy. So far, both leftists and the IMF and other organizations have failed in their apocalyptic warnings.
For example, the country bought part of its cryptocurrencies in 2021, when the price of BTC was considerably high. The following year, the price of the coin plummeted to $16,000, increasing criticism of this strategy. Despite this, the country’s president stood firm and described the currency’s collapse as a buying opportunity. Now, with the rise of the nation’s Bitcoin wallets, this confidence appears to be paying off.
Bitcoin wallets from El Salvador will continue to gain value
This increase in the value expressed in USD of El Salvador’s Bitcoin wallets could be a start. According to enthusiasts of the queen cryptocurrency, its price will continue to rise, especially in 2025. The Trump administration is expected to implement favorable policies for the crypto environment such as regulation that stimulates the development of the sector.
In addition, the big announcement of the incorporation of BTC into the strategic reserves of the North American country is expected. If these campaign promises are fulfilled, the price of Bitcoin, and the rest of the market, is expected to rise significantly. Some institutional experts consider that the price of the coin could exceed $200,000 per token.
If the recurring purchases by the Salvadoran authorities are added to this strong appreciation of the price of BTC, it can be said that their funds are just beginning to grow. According to the government, the nation will continue purchasing indefinitely. The only theoretical danger is that Bukele stops being president and a new administration liquidates Bitcoin from national wallets.
Despite this, the chances of the latter happening are remote, at least in the short term. Currently, President Bukele enjoys great popularity among the voting population thanks to his different proposal with respect to the traditional parties.
On the other hand, the government also ensured strong control of public powers that many describe as authoritarianism. In any case, the latter would also help him stay in power and, with this, the purchase of BTC would continue.
Do you want to always be updated in the world of cryptocurrencies? Subscribe now to the CriptoTendencia WhatsApp channel! Here you will instantly receive the most relevant information about Bitcoin, Altcoins, DeFi, NFTs, Blockchain and the Metaverse.
Related
Crypto Keynote USA
For the Latest Crypto News, Follow ©KeynoteUSA on Twitter Or Google News.
