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Amid high inflation and economic instability, the has reached a new all-time high (ATH) in Turkey, trading at 1,076,038.99 Turkish Liras (TRY). Cryptocurrency adoption in the country began during COVID-19 lockdowns in March 2020, transforming Turkey into a significant player in the global cryptocurrency market. Larry Fink, CEO of BlackRock (NYSE:), called this trend a “flight to quality,” with citizens seeking alternatives to their rapidly depreciating currencies.
The journey to this ATH began with bitcoin skyrocketing to its first major milestone of 479,551.90 TRY (1 USD = 28.6844 TRY) on April 30, 2021. However, as of mid-July 2021, the value fell to TRY 269,146, reflecting a temporary recovery of the Turkish lira against bitcoin. Since December 2, 2022, when bitcoin was valued at TRY 315,013.22, the pair has seen substantial growth, culminating in today’s all-time high value. This represents a cumulative growth of 116,185.22%.
Turkey’s current inflation rate stands at 61.36%, in stark contrast to the United States’ rate of 3.2%. The dire economic situation has prompted many Turks to turn to bitcoin as a hedge against inflation, a trend reinforced by MicroStrategy’s steady BTC accumulations. Although originally conceived by Satoshi Nakamoto as a value transfer mechanism, bitcoin has become an increasingly popular investment asset for those looking to protect their wealth from inflationary pressures.
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