The world’s largest cryptocurrency, Bitcoin (BTC), saw strong growth against the dollar last month, leaving all major fiat currencies in the world behind.
Bitcoin’s increase over the past 30 days has been a significant 56%. It was not a normal month for the cryptocurrency to beat its previous high of $ 20,000 to $ 42,000 before consolidating above $ 35,000 in the current range.
The BTC / USD index for the past 30 days. Source: Cointelegraph Markets
According to a Tweet According to the Spectator Index, Bitcoin far outperformed national currencies, led by Turkey, where the Turkish lira grew 2.9% in a month.
Currency versus US dollar last month.
Turkey: + 2.9%
Australia: + 1.6%
Mexico: + 1.4%
Russia: + 1.4%
India: + 1.2%
Great Britain: + 1.1%
Canada: + 0.9%
China: + 0.3%
Indonesia: + 0.3%
Nigeria: + 0%
South Africa: -2.3%
Bitcoin: + 56%
– The audience index (@spectatorindex) January 19, 2021
The valuation difference between the BTC and national currencies highlights the gap between the two markets and confirms Bitcoin’s position as an asset for economic protection and investment.
US Dollar Index (DXY). Source: Investing.com
The US Dollar Index (DXY) also helps us better understand the past month. The index shows the dollar has depreciated 0.29% over the past 30 days between highs and lows. Currently, the index, which ranges from 0 to 100, stands at 90.50, according to Investing.com, with a peak of nearly 91 over the reporting period.
Despite the depreciation of the dollar, national currencies such as Brazil and Argentina continue to be the focus of global attention and continue to weaken. The real lost another 2.5% and the peso 3.7% last month.
The comparison may even be misplaced as the national currencies are based on stability and sustainable growth. However, it is used to compare Bitcoin, a currency that still pays for transfers and payments, to other assets. Gold, Bitcoin’s biggest competitor outside of cryptocurrencies, has also depreciated over the past month. The precious metal rose from $ 1,896 to $ 1,842 an ounce, down 2.84%.