Metaplanet and El Salvador decided to increase their Bitcoin holdings despite the recent price drop in cryptocurrency.
Metaplanet's Purchase
The Japanese investment firm Metaplanet acquired 135 BTC for $13 million at an average price of $96,185 per coin, increasing its total holdings to 2,225 BTC. The firm, led by Simon Gerovich, has been aggressively accumulating Bitcoin since April, maintaining an average purchase price of $81,834 per BTC, which has resulted in a 12.7% unrealized gain. They also highlighted the importance of their 'BTC Yield' metric, which rose by 23.3% this quarter, nearing their target of 35% quarterly growth.
El Salvador's Moves
El Salvador's latest purchase of 7 BTC marks a slight increase from its usual strategy of buying 1 BTC per day. The country's total Bitcoin reserves have reached 6,088 BTC, worth approximately $560.7 million. Despite this, the country continues its accumulation amid conditions specified by the International Monetary Fund (IMF) as part of a $1.4 billion agreement, requiring a review of some Bitcoin-related policies, including the mandate for all merchants to accept BTC as payment.
Current Market State
Significant outflows were observed in spot Bitcoin ETFs, losing a combined $357.8 million. The Fidelity Wise Origin Bitcoin Fund saw the largest outflow of $247 million, followed by BlackRock’s iShares Bitcoin Trust, which experienced $159 million in withdrawals.
Despite the market downturn and drop in BTC prices, both Metaplanet and El Salvador continue to bolster their reserves in hopes of future growth.
