Bitcoin trading in Argentina has nearly doubled week over week
Just a few weeks ago, Bitcoin in Argentina exploded, marking a record 101 million Argentine pesos (around $ 1.4 million). Meanwhile, the previous highest level at only $ 69 million.
LocalBitcoins: new absolute record in Argentina
“Other notable peaks have occurred in South Africa, Tanzania, Peru, Chile, Nigeria, Kenya and Brazil, while recently there have also been peaks in Japan, Mexico and Egypt.”https://t.co/N09nGynjMR
— LocalBitcoins.com (@LocalBitcoins) July 7, 2020
What causes Bitcoin trading in Argentina to explode to a record-setting volume?
The reason Bitcoin is booming is that in the context of Argentina’s worst economic downturn and the Coronavirus epidemic, it seems that people are paying more attention to safe-haven assets.
According to LocalBitcoins, from trading 59 million pesos worth of Bitcoin for the week ending on June 27 to breaking the 100 million pesos barrier the following week. In U.S. dollar terms, volume skyrocketed from $ 500,000 in weekly BTC volume to $ 808,000.
Weekly LocalBitcoins Bitcoin trading volume in Argentine pesos | Source: Coin.Dance
Meanwhile, 92 BTC were traded from wallet to wallet last week. However, this number still does not compare with the absolute record of 228 BTC in April 2016. However, since then, Argentina had not come close to these numbers until last week. And any way you slice it, Bitcoin trading volume in the country has doubled since the end of June.
Weekly LocalBitcoins Bitcoin trading volume in BTC | Source: Coin.Dance
Given the current state of the Argentine economy, traders in this country are probably looking for a safe haven asset (or at least one that is relatively safer than their local currency) during the crisis. Finance is more and more profound.
Bitcoin, meanwhile, has gained a foothold in Argentina as an alternative currency and a store of value. During the crisis, there is a chance, so this statement seems to be true of the case of Bitcoin in Argentina.
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