Data shows the Bitcoin trading volume in Ukraine has observed a sharp increase amidst the war with Russia as the importance of the crypto grows in the country.
Bitcoin Trading Volume In Ukraine Continues To Grow
According to the latest weekly report from Arcane Research, the BTCUAH volume on the crypto exchange Binance has shot up over the past month.
The “trading volume” is an indicator that measures the total amount of the Bitcoin trading pair transacted on the network on any given day.
Here, the relevant trading pair is the BTCUAH, which tracks exchanges between the crypto and the Ukrainian Hryvnia.
When the value of the trading volume goes up, it means the trading pair is observing a higher number of transactions right now. This trend shows that network activity is going up.
On the other hand, a downtrend in the indicator may suggest investors are losing interest in BTC as they are now doing fewer transactions each day.
By looking at the spot volume data of the BTCUAH, we can estimate the trading activity around the crypto in Ukraine. The below chart shows the trend in the indicator over the year 2022 so far:
Looks like the value of the metric has climbed up recently | Source: Arcane Research's The Weekly Update - Week 12, 2022
As we can see in the above graph, the Bitcoin trading volume in Ukraine has rapidly risen over the past thirty days.
The reason behind this trend could be that Ukrainians may find BTC to be a safer store of value instead of their vulnerable banks, while the war with Russia is raging on.
However, despite the sharp increase in the indicator, these values are still very low compared to Bitcoin’s total trading volume.
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A similar trend was also seen in Russia when the war started, but since the start of this month, the BTCRUB volumes have declined, and have now reached the same levels as before the invasion.
The indicator's value seems to have declined over the past month | Source: Arcane Research's The Weekly Update - Week 12, 2022
Earlier, there was some speculation that Russians may use Bitcoin to workaround the sanctions, but the trading volume trend doesn’t look to support the idea.
At the time of writing, Bitcoin’s price floats around $47.1k, up 10% in the last seven days. Over the past month, the crypto has gained 25% in value.
The below chart shows the trend in the price of the crypto over the last five days.
BTC's price has surged up over the last few days | Source: BTCUSD on TradingView
Featured image from Unsplash.com, charts from TradingView.com, Arcane Research