After losing $60mn in Bitcoin, President of El Salvador again buy the dip

• Nayib Bukele, president of El Salvador, invests another $1.5 million in Bitcoin.
• Purchases 80 BTC at $19,000 each, reducing losses from $104 million to $4,213 million.
• The Central American nation’s Bitcoin reserves were worth $43,700,000 yesterday, worth $60.2 million.

Nayib Bukele, president of El Salvador, must sincerely believe in Bitcoin, or he must enjoy losing money.

Bukele claimed last night that he spent an additional $1.5 million to purchase 80 BTC at $19,000 each coin, notwithstanding the tremendous losses experienced by his approach of investing public monies in Bitcoin.

“El Salvador bought today 80 BTC at $19,000 each,” the Central American politician tweeted, “Bitcoin is the future, thanks for selling cheap,” he said.

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According to his own tweets, Bukele had previously invested approximately $104 million to purchase 2,301 BTC at an average price of $45,171. Yesterday, when Bitcoin dropped to $19,000, El Salvador’s Bitcoin reserves were worth $43,719,000, meaning losses of around $60.2 million for the country.

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El Salvador bought today 80 #BTC at $19,000 each!#Bitcoin is the future!

Thank you for selling cheap 😉 pic.twitter.com/ZHwr0Ln1Ze

— Nayib Bukele (@nayibbukele) July 1, 2022

With this most recent acquisition, Bukele would reduce the average price per Bitcoin invested from $45,171 to $4,213. In order for Bukele to recover the investment made on behalf of his country, Bitcoin would have to surge to $44,219 (a gain of more than 100 percent) before he could even pocket a profit.

Optimistic long-term Bitcoin investors have also copied the approach of collecting Bitcoin following significant price decreases. Michael Saylor, CEO of MicroStrategy, recently announced a $10 million Bitcoin purchase, raising his company’s total Bitcoin holdings to 129,699 BTC at an average price of $30,435. This amounts to almost $1.3 billion in losses, although Saylor, like Bukele, does not appear overly concerned by Bitcoin’s short-term volatility.

In addition to doubling hard on Bitcoin despite huge losses, Bukele’s most recent purchase was noteworthy for a second reason. The president disclosed for the first time fresh information regarding how he acquired BTC for his country.

Bukele shared screenshots of multiple BTC purchase orders being executed at $19,000.

If these screenshots correlate to the account used to purchase Bitcoin for El Salvador, then the president uses a traditional centralized exchange rather than an over-the-counter (OTC) desk, which would make more sense for high-profile transactions.

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It could also imply that Bukele does not make purchases at market prices but instead leaves “limit” buying orders open. In this instance, a portion of the transaction was fulfilled upon completion, as the price of Bitcoin reached exactly $19,000.