As the Turkish lira continues to decline in value against the U.S. dollar, interest in Bitcoin and other cryptocurrencies has risen dramatically within this country. According to retail data analysts, search volumes for “cryptocurrency” and “Bitcoin,” in particular, have increased throughout June just as the price of bitcoin surpassed $9000 for the first time since last November and surged towards $13000 at its peak on June 26.
As the value of the lira plummeted, interest in cryptocurrency surged on social media.
As the value of the lira plummeted, interest in cryptocurrency surged on social media. In fact, according to data from Google Trends and Google Zeitgeist for Turkey, a country-specific version of Google Trends that monitors search trends around the world, interest in cryptocurrency has increased steadily since late 2018. This spike was due to a combination of factors:
- Interest rates were too high, and inflation was rising.
- The lira depreciated against foreign currencies like the dollar and euro.
According to retail data analysts, search volumes for “cryptocurrency” and “Bitcoin” mainly rose throughout June.
The lira’s decline drove interest in crypto. Interest in crypto is still high.
While this latest wave of interest may not change the country’s monetary policy shortly, it could help Turkey become a crypto leader in the long run.
Cryptocurrency is already making waves across Southeast Asia, with countries like Thailand and Indonesia recently announcing plans to launch their national cryptocurrencies. However, Turkey was among the first nations in Europe to accept cryptocurrencies as a form of wealth storage. The lira has dropped by almost half against both dollars and euros since 2008. Meanwhile, bitcoin has increased nearly seven times since then, and Ethereum has grown over 20 times.
According to Google Trends data for Turkey, search volume for “cryptocurrency” and “Bitcoin” started increasing in mid-May this year, just before bitcoin surpassed $9000 for the first time since last November and surged towards $13000 at its peak on June 26.
Since then, according to Coin Dance, Bitcoin has had a bumpy ride by cryptocurrency standards. At one point, it tumbled below $6000 but has since recovered back above that level after Turkey’s president Erdoğan said he would “not accept” a higher interest rate policy being pushed by his U.S. counterpart Donald Trump who said he was “not happy” with Turkish policies on tariffs.
If Turkey’s economy continues to struggle, crypto adoption may grow even more as Turkish citizens search for a way out of their current economic situation.
The lira has lost almost 35% of its value against the U.S. dollar this year, mainly due to ongoing political turmoil within the country. Interest in cryptocurrency surged on social media as people looked for alternative ways to hedge against inflation and protect themselves financially if things worsened.
Suppose you’re thinking about investing or trading cryptocurrencies, keep an eye on Turkey.