El Salvador has reached a significant milestone by accumulating over 6,000 Bitcoin, valued at approximately $569 million as of December 28, 2024. This move places the country among major sovereign entities like the United States, China, and the United Kingdom in terms of Bitcoin reserves. In addition to its regular strategy of purchasing one Bitcoin per day, El Salvador recently acquired an additional 11 Bitcoin in a single purchase after securing a $1.4 billion agreement with the International Monetary Fund (IMF). This deal led the country to ease its Bitcoin regulations, including the removal of a mandate requiring businesses to accept Bitcoin as legal tender.
Meanwhile, the market capitalization of artificial intelligence and big data cryptocurrencies has experienced a significant decline, dropping nearly 30% from its December peak. As of December 28, the cumulative value stands at $50.5 billion, down from $70.4 billion recorded recently. The trading volume for these cryptocurrencies has also decreased by approximately 11%, signaling reduced interest among traders.
In the United States, spot Bitcoin and Ether exchange-traded funds (ETFs) have recorded impressive net inflows during their launch year. Collectively, these ETFs have garnered $38.3 billion in net inflows. The iShares Bitcoin Trust ETF from BlackRock led the way with $37.31 billion, surpassing initial forecasts significantly. However, towards the end of the year, the ETFs saw a net outflow of $1.33 billion, with substantial withdrawals noted in several instances, including $188.7 million from the iShares fund on December 24.
