The Czech Republic’s cryptocurrency market has seen a decrease in spending on digital assets. According to the most prominent domestic cryptocurrency trader, Bit.plus, the volume of transactions involving cryptocurrencies in the country was worth CZK 230 million in August, which was CZK 20 million less than the previous month.
While this represents a drop in month-to-month comparison, the volume of domestic transactions was still higher than last year. In August 2023, the volume of transactions involving cryptocurrencies in the country was CZK 200 million, which is CZK 30 million less than the same period this year. Since this year’s beginning, cryptocurrencies worth CZK 2.6 billion have been traded in the Czech Republic, corresponding to the value of transactions for the first eight months of 2023.
The decrease in Czech cryptocurrency spending is part of a broader trend, as other countries are also seeing a decline in cryptocurrency transactions. According to an analysis by CryptoQuant, a market research firm, the total volume of bitcoins held on all exchanges fell this month to its lowest level since 2018, with no signs of a market recovery shortly.
The decline in cryptocurrency transactions could be attributed to SpaceX’s announcement that it had sold all of its Bitcoin holdings. Elon Musk, the company’s CEO, is viewed by many cryptocurrency investors as an influential figure, and the news shook the entire digital currency market.
Despite the recent decline, the price of bitcoin has still up by 55% since the beginning of this year, and the market is waiting for a more vital impulse after a sluggish summer.
It is important to note that the cryptocurrency market is highly volatile and subject to rapid fluctuations. As such, investors should exercise caution and carefully evaluate their investment strategies.