The British are comingWhen people are running to Bitcoin as a ‘safe haven’ from their national currency, it can’t be good.
- Trading volumes of GBP to BTC went to the moon this week, with volumes on Bitstamp and Bitfinex reaching a record $881m on Monday when the pound slumped to an all-time low against the dollar. GBP now has the highest BTC volumes of the four biggest currencies in the world, overtaking the Japanese yen.
- GBP has been in turmoil recently, with skyrocketing inflation and ripple effects from the government’s ‘mini-budget’ causing chaos in the markets. This month alone, the pound has dropped by 7% against the dollar, and the historic tax cuts laid out in the government’s financial plan are making things worse – and putting BTC in the spotlight.
- Analysts however can’t make up their minds on what it’s all about. Some believe what we’re seeing is investors looking for a safe-haven from the plummeting pound, but others think it could just be traders looking to profit from the volatility. Whichever it is, until you can buy houses with BTC, it’s not a great position to be in.
Christopher Bill / Unsplash
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