The cryptocurrency world is seemingly positive again after a disaster start to 2018. The Bitcoin price has been gradually recovering over the last week and there is a bullish mood for the Bitcoin price heading into May.
The Bitcoin price is heading towards the $9,000 mark, if it does cross this point again… this will be the fourth time that Bitcoin has crossed this point. One remarkable thing about the Bitcoin price is that it has always recovered following a dip. And, while we are still some way off the all time high if this is the start of a bull run who knows what price we could reach this time.
The Bitcoin price has not been this high since late March when it last tested the $9,200 point, however, trading volumes failed to gain support and the Bitcoin price dropped even further. Fortunately trading volumes are remaining strong right now, supporting the potential of a bull run heading into May.
What is behind this surge in the Bitcoin price
We wrote at the start of the month about what has caused this Bitcoin price surge, in which the. Bitcoin price increased by almost $1,000 in an hour at the start of April. It seems as though there are a few other factors but it may well be that this huge surge caused a bull run to start.
Venezuelan Bitcoin adoption hits record highs
The Bolivarian Republic of Venezuela is home to one of the worst hyperinflation crisis in the world ever. Inflation has been projected to reach as high as 13,000% this year, as the situation continues to worsen for the Venezuelan public. The Venezuelan Bolivar continues to plunge, and as purchasing power of their seemingly doomed fiat currency reduces, the government continue to issue more currency.
<blockquote class=”twitter-tweet” data-lang=”en”><p lang=”en” dir=”ltr”>Volume of person-to-person Bitcoin trading in <a href=”https://twitter.com/hashtag/Venezuela?src=hash&ref_src=twsrc%5Etfw”>#Venezuela</a> hits record high last week… sadly as much a measure of BTC adoption as it is of <a href=”https://twitter.com/hashtag/bolivar?src=hash&ref_src=twsrc%5Etfw”>#bolivar</a> debasement. <a href=”https://t.co/mNAuT3KWb4″>https://t.co/mNAuT3KWb4</a></p>— Erik Voorhees (@ErikVoorhees) <a href=”https://twitter.com/ErikVoorhees/status/986994338394615808?ref_src=twsrc%5Etfw”>April 19, 2018</a></blockquote> <script async src=”https://platform.twitter.com/widgets.js” charset=”utf-8″></script>
LocalBitcoins trading volume for the week of 14 April 2018 was: 2,789,991,957,138 Venezuelan Bolívares. The previous week was well below two trillion VEF, at 1,744,669,576,098 Venezuelan Bolívares. Volumes were mostly below 1 trillion VEF before that.
While this is terrible news for Venezuela we can see what is probably going to be one of the first ever real world use cases for the true purpose of Bitcoin, Venezuelans are opting to use the digital currency and many are excited about the opportunity Bitcoin is providing them. Because of bitcoin citizens of Venezuela are able to continue living in their home country.
While this may not have had a huge impact on the overall price of Bitcoin we are seeing a shift towards more people choosing to use Bitcoin as oppose to fiat currency and potentially Bitcoin is started to gain a lot more trust as a currency.