The President of El Salvador, Nayib Bukele, announced that he has executed the “buy the dip”, meaning that he has purchased 100 BTC with 20% discount, compared to the ATH – All Time High of Bitcoin at $69,000 on 10 November.
El Salvador and the Buy the Dip of Bitcoin
El Salvador just bought the dip.
100 extra coins acquired with a discount 🥳#Bitcoin 🇸🇻
— Nayib Bukele 🇸🇻 (@nayibbukele) November 26, 2021
“El Salvador just bought the dip. 100 extra coins acquired with a discount. Bitcoin”.
It may be the Black Friday mood, but Nayib Bukele on Friday shared his tweet with the announcement of the 100 BTC purchase, also known as the “buy the dip”, that he would have done in the name of El Salvador.
According to prices, BTC hovered around $53/54,000 on Friday, more than 20% lower than its ATH – All Time High of $69,000 set on 10 November.
With this purchase of 100 coins, El Salvador holds 1,220 BTC, worth about $66.3 million on Friday.
Nayib Bukele and the response to the Bank of England (BOE)
In another tweet, Bukele reportedly responded to the negative remarks published by the Bank of England (BOE) last week, with respect to El Salvador’s decision to adopt Bitcoin as legal tender.
I’m really concerned about @bankofengland printing money out of thin air.
— Nayib Bukele 🇸🇻 (@nayibbukele) November 27, 2021
“I’m really concerned about Bank of England printing money out of thin air”.
And indeed, last week, BOE Governor Andrew Bailey reportedly called El Salvador’s choice of Bitcoin a worrying move for consumers in view of its volatility.
During an appearance at the University of Cambridge Students’ Union, Bailey reportedly said that his concern is mostly referring to the citizens of El Salvador who should all understand the nature and volatility of the currency they adopt.
The International Monetary Fund (IMF) has also reportedly expressed views against the adoption of Bitcoin in general, especially in El Salvador. The IMF has helped El Salvador with favourable loans, as the country is still developing and has had financial problems in the past. This decision to adopt Bitcoin as legal tender could lead to the Fund not granting new loans in the future.
El Salvador and the growth of Bitcoin adoption
While there is concern on the other side of the world, citizens in El Salvador seem to be happy to adopt the queen of crypto.
In fact, in the middle of this month, Bukele is reported to have enthusiastically announced the world record of Salvadorans in using Bitcoin.
There is one country on Earth, where there are more people using #Bitcoin wallets than bank accounts.
Prolly nothing. https://t.co/bZb4M6XZZZ
— Nayib Bukele 🇸🇻 (@nayibbukele) November 15, 2021
“There is one country on Earth, where there are more people using Bitcoin wallets than bank accounts. Prolly nothing”.
The government’s actions in the months since 7 September 2021, have been aimed at facilitating as much as possible the adoption of BTC and related activities, such as mining. In this sense, many foreign crypto investors seem to be interested in investing in El Salvador.