The real test of Bitcoin and its availability was established with a spike in demand in the last three months. The reason for this rise in volume is the start of the war between Russia and Ukraine. According to information published by Arcane Research, an analytics firm, the real volume of daily trading in BTC was above $10 billion on February 24th. This was the first day of the Russian invasion of Ukraine. Since December 4, 2021, this was the highest daily trading volume.
Arcane Research also said that new narratives about crypto have cropped up due the current crisis and crypto fundraising efforts by Ukraine. Demand for crypto has gone up in the West and Russia has instituted very strict controls on capital, not seen in decades. Investors have also been looking at ways to reduce risk and have been selling at a phenomenal pace. This has led to a surge in BTC trading volumes.
Real trading volume is a term that refers to different sources of data. These sources are not only reputable, they also don’t participate in activities such as wash trading. For this report, Arcane sourced its data from exchanges like Coinbase, Poloniex and Binance.
According to Arcane, BTC prices experienced the highest daily gain by percentage at 14.5%. This surge was attributed to the adoption and use of crypto by both Russia and Ukraine. Financial markets have been disrupted badly in both countries and this has led to a demand for crypto.