, the largest Latin American economy, broke a new record when Brazilian exchanges traded over 100 thousand within 24 hours. In parallel, reported that its economic activity in February fell to the lowest level in the last nine months.
Brazil Trades Over 100,000 bitcoin in 24 Hours
The battle between and Argentina for the supremacy of the market in Latin America reached a new dimension. Cointrader Monitor, a monitoring tool that analyzes price movements in , announced that Brazilian exchanges traded over 100,000 on April 10, 2019.
Brasil negocia 100 mil Bitcoins e bate recorde da América Latina
— Cointrader Monitor (@CointraderM)
This spike in the volume of bitcoins traded coincides with recent increases in values, surpassing the BRL 20,000 price mark. As a result, on April 10th, the total amount transacted was over BRL 2 Billion, (1 USD = 3.9 BRL) as shown in the below:
Brazil’s Economic Woes Push bitcoin Price Higher
Regulators and traditional banks have disrupted ’s exchanges. For example, several of ’s exchanges, such as Market, have had their bank accounts closed because judges have ruled that traditional banks can terminate exchange accounts at will.
Most recently, Santander Bank arbitrarily terminated the account of the Max exchange. After a court battle, a judge denied Max’s motion to its bank account. However, last February, another judge reversed this decision because Santander Bank had failed to provide “prior written communication of the intention to terminate the contract.”
Despite the many hurdles attempting to stifle the development of the crypto market, ’s economic realities dictate otherwise.
According to Reuters, in February 2019, the country’s economic activity was the lowest in the last nine months, ,
The central bank’s IBC-BR economic activity index, a leading indicator of gross domestic product (GDP), fell 0.73 percent in February from January. That followed a revised drop of 0.31 percent in January, a smaller contraction than first reported.
Thus, many point to the country’s economic ills as one of the reasons for the upsurge of its market, as The Rio Times ,
A slump in the economy is likely the reason for the rise of in .
As Bitcoinist Monday, volume on peer-to-peer exchange LocalBitcoins has been surging across Latin America. Mexico, in particular, saw it’s biggest volume to date in pesos, following US President Donald threatening to clamp down on remittances by illegal immigrants.
, meanwhile, has demonstrated a relatively steady weekly volume of about 1.6 million BRL.
Do you think the sluggish local economy contributes to the recent upswing in ’s activity in ? Let us know in the comments below!
Images via Twitter/@CointraderM, Shutterstock
Published at Wed, 17 Apr 2019 01:07:49 +0000
