Due to the rapid weakening of the British pound against the US dollar, the trading volume for the BTC/GBP pair increased.
Data from Bitfinex and Bitstamp shows volumes were 1100% above average on Monday.
Will the British switch to Bitcoin?
as such subscriber By CoinShares Research Director James Butterfill, the volume of BTC/GBP increased on September 26 to over $881 million. In contrast, the average daily volume is only about $70 million over about two years.
This comes after the pound fell from $1.17 to $1.07 in the past month, threatening to slide into dollar parity with the euro.
“When fiat currency is under threat, investors start to prefer bitcoin,” Butterfell said in response.
The researcher has also shared data for other currency trading pairs. While BTC/GBP volumes were above the annual average by more than 1400%, BTC/USDT volumes were only 58% higher, and BTC/USD volumes were only 32% higher.
During the third quarter, the performance of Bitcoin compete The dollar remained relatively stable as stocks and other commodities declined.
Sevidan Amos, author of The Bitcoin Standard, described the data as “fantastic” in response. The popular Bitcoin book discusses the possibility that Bitcoin will overtake fiat currencies as money due to its scarcity and others. monetary characteristics. After the central banks Unlike always The idea of Bitcoin becoming a global currency is widespread.
Bitcoin relationship with currencies
Historically, Bitcoin has traded more like a technical stock with high volatility. While it thrived in the low interest rate environment of 2021, it faltered in response to tight global monetary policy in 2022.
I put my trust in Shared story Among the BTC bulls, the cryptocurrency failed to see a significant and sustained price response to record inflation in the US
However, other countries tell a different story. With the Turkish lira dropping against the dollar last year, BTC/TRY Collected to its highest level ever.
Likewise, the size of the bitcoin and the ruble erupted in March after the collapse of the Russian currency in response to Western sanctions in February.
Former BitMEX CEO Arthur Hayes expect In July the US will have to cut interest rates again as international currencies continue to crash against the dollar. “Printing money means the BTC number is going up,” he added.
Bitcoin trading volume then explodes against the British pound as currency weakness first appeared on CryptoPotato.