Bitcoin Beats The British Pound In Trading Volume As GBP Falls Apart

Bitcoin trading volumes against the British pound surged to a new high after the Sterling wobbled on Tuesday, prompting market experts to speculate that investors scrambled to dispose of the Pound in exchange for Bitcoin or to profit from arbitrage. The British pound reached a record low against the U.S. dollar, according to data compiled by the Kaiko Research team, after the United Kingdom government announced unfunded tax cuts the previous week.

The UK’s interest in Bitcoin will expand “quite quickly” as fiat currency instability makes the flagship digital currency asset resemble a stablecoin, analysts said.

Similarly, the volume against the Euro has increased by 85 percent during the past month. During the same period, volume for the USD/BTC pair skyrocketed by 67%. At one time, the British pound plummeted nearly a quarter against the US dollar. While data from TradingView and Cointelegraph Markets Pro indicate that Bitcoin outperforms fiat currencies by 55%, the longer the term, the more attractive a Bitcoin hedge becomes.

Meanwhile, Bitfinex reported a substantial surge in volume and trading activity for the BTC/GBP pair, which market monitors say highlighted the potential for the leading cryptocurrency to profit from “apparent fiat currency weakness.”