Yesterday was a busy day for the Bitcoin market. Bitcoin trading volume has risen to $ 55 billion and thus the highest of the last 188 days. The trade volume has dropped to ‘normal’ levels today.
Bitcoin users have made more transactions than usual in the last 2 days. According to CoinMarketCap data, the volume of Bitcoin on the exchanges rose to $ 55 billion yesterday. Bitcoin’s trading volume has never been higher since May 2020.
Huge Increase in Volume
Bitcoin’s trade volume was in the range of $ 25-40 billion throughout the week. It was quite surprising that this level reached up to $ 55 billion yesterday. Considering that the weight of gold is around $ 62,500, this indicates that the total value of yesterday’s Bitcoin transactions is worth almost 880 tons of gold.
Meanwhile, a record was seen in the volume of transactions made within the Bitcoin network (we can call it on-chain). According to the data transferred by Glassnode, a total of 3.2 million BTC transactions were made on the Bitcoin network on September 9. Thus, at least in the medium term, a new record was broken because such a large volume has not been seen in a year.
Not Reflected In The Price
Although the volume of bitcoin has reached such a great level, its effects have not been reflected in the price. Bitcoin price, which hovered between $ 10,200-10,400 yesterday, continues to preserve this region now. CryptoQuant CEO Ki Young-Ju thinks the price may take action in the coming period. Sharing his views on Twitter, Young-Ju said the following about the record volume in the BTC network:
“The total number of Bitcoins transferred within the network is at the peak of the last 1 year. These transactions are not based on the stock market. The fund-flow ratio in stock exchanges is at the lowest level of the year. Something is going on. It may be related to OTC transactions. Something similar happened in February 2019 and OTC volumes took off. This could be a serious bullish signal. ”
But not everyone interprets the increase in transaction volume as optimistically as Ki Young-Ju. Glassnode’s CTO, Rafael Schultze-Kraft, explained that the Bitcoin volume actually did not change as radically as it was thought. Schultze-Kraft, who shared his views via Twitter like Ki Young-Ju, said:
“The volume in the bitcoin network is not growing. Even when we do a simple research, we can see that this increase is actually caused by “money changers”, ie Bitcoins sent back to the transaction owner. People don’t send Bitcoin to different people. So it has no economic value. “