Bitcoin crash cuts $300M from El Salvador’s holdings as IMF reviews $1.4B loan amid continued daily BTC purchases.
El Salvador’s Bitcoin strategy is under renewed scrutiny after a sharp market downturn. As of February 12, 2026, the country’s holdings have lost about $300 million in value.
The decline has added pressure to ongoing negotiations over a $1.4 billion loan with the International Monetary Fund.
Bitcoin Holdings Drop as Market Slides
Bitcoin prices have fallen nearly 50% from their previous year’s peak. From February 1 to February 12, 2026, prices remained volatile and trended lower.
This movement reduced the value of El Salvador’s national Bitcoin reserves.
The country’s total Bitcoin investment declined from about $800 million to around $500 million.
El Salvador holds approximately 7,500 BTC under its accumulation program. The government continues to purchase one Bitcoin per day despite recent losses.
EL SALVADOR NOW HOLDS 7,500 $BTC
THE COUNTRY KEEPS BUYING MORE EVERY DAY📈 pic.twitter.com/PbMEhEdSUB
— That Martini Guy ₿ (@MartiniGuyYT) December 14, 2025
Market volatility has also affected sovereign debt pricing. Credit default swaps on El Salvador’s bonds reached a five-month high.
Investors are monitoring crypto exposure and fiscal stability at the same time.
IMF Loan Negotiations Under Strain
El Salvador is in talks with the IMF over a $1.4 billion financial support program. The loan is viewed as important for meeting near-term debt payments.
Discussions have continued as Bitcoin prices weakened.
BITCOIN CRASH BATTERS EL SALVADOR, IMPERILS IMF DEAL
Bitcoin’s plunge has slashed the value of El Salvador’s holdings by roughly $300 million, exposing the risks of President Bukele’s crypto bet and shaking the country’s debt markets.
Despite the losses, Bukele keeps buying… pic.twitter.com/O24e3nTIzR
— *Walter Bloomberg (@DeItaone) February 12, 2026
Reports indicate that the IMF may object to funding that supports additional Bitcoin purchases.
The institution has raised concerns in past statements about financial transparency and risk. Officials have not confirmed new conditions tied to crypto policy.
To support negotiations, lawmakers revised the national Bitcoin framework. Acceptance of Bitcoin is now voluntary for private businesses.
This marks a shift from the earlier mandatory adoption law introduced in 2021.
Related Reading: Bitfinex Relocates to El Salvador, Strengthens Digital Asset Presence
Debt Payments and Alternative Financing
The country faces major debt obligations in the coming years. Bond markets have shown volatility as investors assess repayment capacity. External financing remains central to fiscal planning.
On February 11, 2026, the Inter-American Development Bank announced $1.3 billion in funding.
The support is allocated for housing and tourism projects through 2026. This funding provides an additional source of capital.
President Nayib Bukele continues to maintain high domestic approval ratings. Surveys from early February show support near 91.9%. ,
The administration has stated that its Bitcoin accumulation strategy will continue as planned.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
SEC and CFTC Reach New 2026 Cryptocurrency Regulatory Agreement to Jointly Clarify Market Rules
The U.S. SEC and CFTC signed a memorandum of understanding on March 11, planning to jointly coordinate cryptocurrency regulation by 2026, covering six priority areas to mitigate jurisdictional conflicts between the two agencies, providing a clearer market environment and compliance guidance.
GateNews10m ago
France-listed company Capital B increases holdings by 8 BTC, total holdings reach 2844 BTC
Gate News reported that on March 16, French listed company Capital B increased its holdings by 8 bitcoins, bringing its total bitcoin holdings to 2,844 bitcoins.
GateNews14m ago
Bitcoin Breaks Through $74,000, Reaching Six-Week High, Driven by Short Liquidations and ETF Fund Inflows
On March 16, Bitcoin's price surged to approximately $73,892, marking a six-week high, with intraday prices briefly breaking through $74,000. Over the past 24 hours, it has risen 3.4%, demonstrating independent movement amid global market pressure. Short liquidations have driven the price increase, while spot Bitcoin ETFs have attracted institutional capital with consecutive three weeks of net inflows. Market analysis suggests that ETF capital inflows and spot demand will continue to drive Bitcoin's price upward.
GateNews17m ago
A Certain CEX's 24-Hour Trading Volume Reaches $1.369 Billion, XRP, BTC, ETH Rank in Top Three
According to CoinGecko data, on March 16, a certain CEX's trading volume reached $1.369 billion, up 72.28% from the previous day. The top five tokens by trading volume are XRP, BTC, ETH, TRUMP, and DKA.
GateNews19m ago
Bitcoin Prepares to Bullish Continuation – Trading the $70,000 Support Pivot
Bitcoin (BTC) is going through a volatile period, and the recent market oscillations have preconditioned the potential technical breakout. Following a lengthy period of volatile consolidation, the flagship digital asset displays evidence of the “bump and run” reversal pattern, a technical chart
BlockChainReporter30m ago
Bitcoin Breaks Key Resistance, $78,000 Target in Sight, but Pullback Risk Remains
Bitcoin's price recently surpassed $73,700, increasing by nearly 11%, influenced by a cup and handle formation. The upward movement faces resistance at $74,300, and there is a short-term risk of a pullback. Decreased spot supply supports the price, while leverage in the derivatives market has declined, indicating cautious market sentiment. Investors should monitor key price levels and short-term fluctuations.
GateNews33m ago
