The Bitcoin integration at PayPal has generated incredible demand from private and institutional investors. But things are also hot at PayPal itself. The daily Bitcoin trading volume has reached around 40 million USD after a short time.
PayPal is driving Bitcoin trading volume up
According to itBit , Paxos‘ trading desk, the Bitcoin trading volume on PayPal has exploded. Paxos is the official partner of PayPal. The service provider also takes over the safekeeping and accordingly has an insight into the current figures.
Currently, the daily Bitcoin trading volume has exceeded the magical limit of 40 million USD. This clearly shows the increasing demand for Bitcoin via the PayPal platform. Before the announcement, the trading volume was around USD 2-4 million, according to itBit.
PayPal as a catalyst for BTC
According to its own information, PayPal currently has around 346 million users worldwide. The service is currently only available in the USA. The company is already planning to introduce it in other countries. Accordingly, the potential of PayPal is far from being exhausted.
In addition, it is currently only possible to trade Bitcoin and 3 other crypto currencies on the platform itself. There is no way to transfer or deposit cryptocurrencies to your own wallet. This feature should also be integrated in the future. However, PayPal does not yet provide further information on this.
January 2021 will also be interesting. Then customers should not only be able to trade with Bitcoin and Co., but also be able to pay at over 26 million merchants. One small step for PayPal and one big step for Bitcoin adoption.
A lot of room for improvement
It is therefore not surprising that the Bitcoin price has risen by more than 50% within a few weeks after the announcement. As of the official announcement, the BTC price was around $ 11,600.
Nevertheless, there were and are other factors that led to the sharp rise in the Bitcoin price. The interest of institutional investors in particular is one of the most important price drivers.
Bitcoin purchases on PayPal already exceed the daily BTC production volume. Even though the service is currently limited to the USA. Therefore, one can currently assume that demand will continue to increase as soon as the service is also available in Europe.
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