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Brokerage shows 574% increase in cryptocurrency trades in 2021

Although interest has cooled after the fall of bitcoin and other cryptocurrencies, Brazilians traded almost seven times more in the 1st half of 2021 than a year ago

The fall in the price of cryptocurrencies from record highs in April and May has dampened investor interest somewhat, but industry figures show that the market is still booming. In one of the largest cryptoactive brokers in the country, data show a volume of operations 574% higher than a year ago.

Statistics released by the Bitcoin Market, one of the main exchanges in Brazil and which recently became the first crypto “unicorn” in the country, show that, despite the drastic drop in the volume of transactions with cryptocurrencies in June, the numbers for the sector in 2021 are still positive.

In May, the brokerage registered more than 6.4 million transactions, a number that plummeted, along with the prices of the main digital assets, to 2.6 million in June. Even so, added to all the first six months of the year, the volume of negotiations is still almost seven times greater than that registered in the first half of 2020 – there were 34.7 million operations in 2021, compared to 5.1 million last year .

“June was a month of extreme volatility for bitcoin. Chinese government measures, such as the decision to ban bitcoin mining, exerted strong negative pressure. Bitcoin dropped to close to 29 thousand dollars, the lowest level in six months”, explained Fabrício Tota, director of New Business at the company, to EXAME. “El Salvador, which decided to adopt bitcoin as its national currency, helped to hold the price”, he added.

The data show that despite the recent drop in investor interest, the market still sustains impressive growth in a relatively short time span.

Bitcoin still reigns, but no longer alone

Despite having a dominance of almost 45% of the global market value of cryptoactives – accounting for 615 billion dollars of the 1.4 trillion invested in the sector – bitcoin is no longer the only digital asset in the sights of Brazilian investors. On the contrary: according to the Bitcoin Market, the main cryptocurrency failed, in June, to repeat its global dominance among the platform’s users.

Bitcoin accounted for 21.27% of transactions in the Bitcoin Market. It was the most traded asset, but other cryptocurrencies now face the main one. The second most traded on the platform was ether, with 11.7%, followed by chiliz (11.53%) and ripple (11.2%). Together, these four cryptocurrencies account for 55.7% of the month’s operations.

In May, the difference was even smaller, which proves the increased interest of Brazilian investors in so-called altcoins. With ether registering price records in a row, the second largest cryptocurrency in the world accounted for 24.5% of transactions on the exchange, a volume almost equal to that of bitcoin, with 25.25% of the total.

“[The numbers] indicate that there is huge interest in other assets, beyond bitcoin and even ether. The Bitcoin Market listing of 19 new assets in May has fulfilled a desire from customers for this diversification. bitcoin is still the gateway, but once used to the crypto environment, customers quickly want to know and try other cryptoactives,” explained Fabrício Total to EXAME.

Although the numbers refer to only one trading platform, its relevance as a reflection of the crypto scenario in Brazil is considerable, given the large share of the Bitcoin Market in the domestic market. In all, the brokerage has 2.8 million customers and ranks second among the exchanges with the highest trading volume in the country, behind only the Chinese Binance.


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