- Bitcoin is trading at a premium in some countries facing extreme currency devaluation and uncertainty, such as Nigeria and Türkiye.
- According to International Monetary Fund (IMF) data, Argentina is currently facing three-digit percent inflation, and the Argentine peso ranks fourth on the list of currencies with the highest annual inflation rate.
- Cryptocurrency adoption rates continue to rise in Nigeria, Türkiye and Argentina despite restrictions on the digital asset market in these jurisdictions.
Bitcoin price attracted all the attention again with the significant increases it has experienced in recent days: The price broke a new record in 3 different countries!
Bitcoin Price Hits New All-Time Highs in Some Countries
Bitcoin is trading at all-time highs (ATH) in some countries facing extreme currency devaluation and uncertainty, such as Nigeria and Türkiye. As of Friday morning, the leading cryptocurrency is reaching new all-time highs in Nigeria, Türkiye, and Argentina, driven by residents seeking a safe haven asset against high inflation rates.
Bitcoin has surged to levels of 28.4 million Nigerian Naira (NGN), 12.4 million Argentine Pesos (ARS), and 979,000 Turkish Lira (TRY), where the fiat currencies of these countries continue to freely fall. According to International Monetary Fund (IMF) data, Argentina is currently facing triple-digit inflation, with the Argentine Peso ranking fourth on the list of currencies with the highest annual inflation rates.
The Turkish Lira and Nigerian Naira, with inflation rates increasing by 25% and 52%, respectively, have taken the 6th and 15th spots. The significant drop in the purchasing power of these currencies has significantly increased the demand for Bitcoin, historically considered a hedge against inflation.
Bitcoin Adoption on the Rise in Inflation-Hit Countries
Crypto adoption rates continue to rise in Nigeria, Türkiye, and Argentina, despite restrictions imposed on the digital asset market in these jurisdictions. A recent Chainalysis report revealed that Nigeria is the second most active country in crypto trading.
Despite the Nigerian government’s ban on crypto trading in 2021, the country continues to register significant trading volumes. Crypto transactions in the African country reached $56.7 billion as of June 2023, a 9% increase compared to the previous year. The Nigerian government has announced plans to pass a bill legalizing cryptocurrencies as digital asset usage becomes more widespread.
Turkey and Argentina are also not lagging behind in the adoption trend, ranking 12th and 15th, respectively, on the Chainalysis list. About 10% of the Turkish population is turning to Bitcoin to protect themselves from the effects of inflation on the Lira.
In Argentina, Bitcoin became a major topic of debate among politicians, using the digital asset’s popularity to garner support from voters ahead of the presidential election. In August, Bitcoin hit an all-time high against the Argentine Peso after the Bitcoin-friendly presidential candidate Javier Milei won the presidential primaries.
