- Bitcoin beats fiat currencies by 55%.
- BTC/GBP exchanges were almost 1,100% higher on Monday than on any other day.
- The spike was most likely caused by traders trading the Pound for Bitcoin.
According to market data firm Kaiko Research, trading volumes between the British pound and the cryptocurrency bitcoin reached a new high after the sterling fell on Monday, indicating a rush by investors to dump their pounds for the digital asset or benefit from arbitrage.
The rising BTC/GBP transaction activity demonstrates traders’ preference for the most popular cryptocurrency.
The amount of crypto-fiat transactions on exchanges exceeded a record on Monday, according to statistics made public by James Butterfill, head of research at Coinshares, with a strong surge of almost $881 million.
According to Bitfinex and Bitstamp statistics, the rate of BTC/GBP exchanges on Monday was over 1,100% higher than on a regular day. Every day, almost $70 million in involvement is normal.
Similarly, volume versus the Euro has surged by 85% during the last month. Volume for the USD/BTC pair increased by 67% during the same time period. The British pound dropped nearly a quarter versus the US dollar at one point.
While TradingView shows that Bitcoin beats fiat currencies by 55%, the longer the duration, the more appealing a BTC hedge becomes.
Gabor Gurbacs, the strategic consultant at banking giant VanEck, was one of several this week to emphasize BTC’s desirability over the Sterling. “Because of the pound’s volatility,” Gurbacs said, “the United Kingdom will be orange-pilled very quickly.”
According to James Butterfill, chief research officer at cryptocurrency business CoinShares, the spike was most likely caused by traders trading the Pound for Bitcoin. According to him, “there is a clear correlation between Bitcoin volume increase and political and monetary instability.”
Data reveal that, in addition to the British pound, the transaction volume of other major currencies has increased in tandem with the cryptocurrency.
