Not only Colombia and Argentina, but also Peru and Brazil saw an increase in LocalBitcoins, a phenomenon that coincides with a growing interest in BTC with view on Halve which will take place on May 11th. Inflation also has an impact in some countries.
Less than two weeks after Halve from Bitcoin, the international P2P trading platform LocalBitcoins saw a significant increase in the volume of operations in several Latin American countries, particularly in the cases of Colombia, Argentina, Brazil and Peru.
The recent increase in trade in Bitcoin indicates an increase in people’s interest in cryptocurrencies, possibly a move related to the impact of the Covid 19 crisis on the local economy.
New record in trading volume in LocalBitcoins Colombia
According to the portal Coin.Dance, In the week from April 27 to May 3 of this year, users residing in Colombia saw a significant increase in the volume of operations with Colombian Pesos (COP).
According to the portal, Colombian users invested $ 10,825 million in Colombian pesos (around $ 2.7 million). The figure represents an increase of 10.7% compared to the trade registered in the previous week, worth 9,611 million COP. This is an increase of 44.3% over local trade in the first week of 2020, worth $ 6,028 million ($ 1.5 million).
The new increase in trade in Bitcoin in Colombia It has also exceeded the maximum historical investment in the platform P2P of COP 10,632 million last May. Note, however, that this historical maximum represents trading in BTC 361, a number that is far from the historical maximum of BTC 361 Bitcoins BTC 760 was traded in February 2019.
A factor that could explain why less was bought Bitcoins Investing more Colombian pesos is the progressive surge that the dollar price has seen in Colombia following the pandemic.
The Colombian national currency has depreciated by 87% in the past 10 years and reached a maximum price of the US dollar on March 20 this year A dollar worth 4,153 COP.
Transactions in LocalBitcoins Argentina record new record
Which in turn the Bitcoin it also set a new trade record in Argentina. According to the portal Coin.DanceFor the week of April 27 through May 3, 2020, Argentine residents have a total of 48,994,399 Argentine Pesos (USD 732,000) to trade with Bitcoin.
The trade figure represents an increase of 4.2% compared to the previous week, in which a trade of ARS 46.8 million (USD 701 thousand) was recorded. How reflected LocalBitcoinsThe crypto trade in the South American country, calculated in the local currency, has grown considerably in recent years.
Although trading in Argentine pesos has seen a significant increase in the platform, is not the same for the volume of Bitcoins traded. Despite the new trade record, only BTC 51.6 was exchanged in the week between April 27th and May 3rd Bitcoins less compared to the previous week.
Similar to the economic situation in Venezuela, the national currency of Argentina A significant devaluation was found in terms of the value of the US dollar, which would explain this phenomenon.
Peru and Brazil reach new highs
The market of Bitcoin The platform also saw significant commercial growth in Peru and Brazil LocalBitcoins.
According to the portal Coin.DanceIn the week from April 27 to May 3, 2020, Peru-based users invested a total of 3,566,187 Peruvian soles (approx. USD 1 million) in the exchange platform. This number, which corresponds to BTC 128, corresponds to an increase of 31.6% compared to the trade registered in the previous week.
It should be noted that, as can be seen in the graphic above, the P2P exchange platform has not had such a high number of trade since September last year, when PEN was exchanged for $ 3.7 million.
Brazil also saw a similar increase in crypto transactions. In the same week that ended May 3, users residing in the South American country assigned a total of 2,182,929 Brazilian reals ($ 391,000), which corresponds to 47 Bitcoins.
The figure is close to the number registered in September last year when BRL 2.2 million was traded on the platform, and is an approximate increase of 30% compared to the previous week of April 25.
Growing interest in Bitcoin
The numbers in the different countries of Latin America show a few days later, a greater interest in the most important digital currency Halve from Bitcoin, scheduled for next May 11th. An event that has sparked the interest of a large number of users and crypto enthusiasts, and which has resulted in the increasing number of searches for the term “Halve“At Google.
New records in transactions Bitcoin at the regional level, they also coincided with what appears to be a moment pPositive for the main cryptocurrency that has seen progress in value over the past few weeks. During the past April 30, the currency has peaked since February this year, reaching over $ 9,400.
On the other hand, it should be noted that the increase in commercial business in LocalBitcoins Latin American countries also appear amid the economic problems that nations are facing due to the pandemic. In the past, analysts have indicated that residents of countries like Argentina and Venezuela take this into account Bitcoin and other assets of this type as a mechanism to protect your purchasing power from the constant depreciation of local currencies.
At a time when the local economy is seeing the impact of the global pandemic crisis, various factors can influence growing interest in Bitcoin.
Sources: Coin.Dance, The Republic of ColombiaFiles DailyBitcoin
Article by Hannah Estefanía Pérez / DailyBitcoin
picture of Unsplash