El Salvador is implementing a “Buy Bitcoin Every Day” strategy
The country of El Salvador is going all in on bitcoin despite its recent weakness, and is implementing a dollar cost averaging strategy where it appears to be buying one coin per day.
The leading cryptocurrency breached $21,000 at one point, but recently fell below $16,000 thanks to the fallout from the FTX disaster. The digital coin exchange collapsed, with bitcoin sellers reacting to the news by dumping the currency on the open market.
Of course, the FTX collapse is drawing heat from lawmakers, forcing more eyes on the cryptocurrency market. At some point, more regulation is probably headed for crypto exchanges to prevent another collapse, but right now the market is still relatively unregulated compared to the stock market.
“There is no sugar coating. The collapse has been a dumpster fire. Users left out to dry. Ecosystem in limbo,” Representative Patrick McHenry, the top Republican on the House Financial Services Committee, said at a hearing examining the safety of the US financial system, according to a CNBC -report.
This gives El Salvador more incentive to buy bitcoin on the dip, and encourages the country’s leadership to continue its support for the leading cryptocurrency. Late last year, bitcoin was recognized as legal tender for the country as the cryptocurrency experienced bullish peaks that saw it climb upwards of $69,000.
We buy one #Bitcoin every day starting tomorrow.
— Nayib Bukele (@nayibbukele) 17 November 2022
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