Following the recent Bitcoin bull run, one would expect demand for BTC to pick up. Judging by the volume on LocalBitcoins, that isn’t necessarily the case. Some regions note a small increase, but the “big demand” isn’t there yet.
LocalBitcoins Volumes Worldwide
It is always worthwhile to see how peer-to-peer Bitcoin trading evolves around the world. When the BTC value rises, one is inclined to think the trading volume across LocalBitcoins and Paxful is on the rise too. That isn’t necessarily the case, as some regions note a substantial decrease in volume. A bit surprising, considering how these are the high-volume regions for LocalBitcoins.
More specifically, Latin America and Eastern Europe note a decrease in volume over the past 30 days. Although the gap isn’t necessarily steep, it does create an exciting trend. The decline in both regions is just $3-5 million, which is not insurmountable either. It does show there is minimal LocalBitcoins volume to go around, even though peer-to-peer trading is often a better option. Sub-Saharan Africa is also on the decline, albeit just slightly.
The situation is a bit different in all other regions: Western Europe notes the most substantial increase in volume, slightly ahead of Asia Pacific. These regions continue to play an increasing role of importance in the Bitcoin world as of late. If the trading volume picks up, exciting things may be around the corner. North America, on the other hand, remains at a virtual status quo.
Other than that, both Middle East North Africa, and Australia-New Zealand record minor growth as well. Very surprising, although Bitcoin is a global currency at its core. LocalBitcoins isn’t necessarily a popular trading platform in those parts, though, something to note. How that situation will evolve remains challenging to predict.
What About Paxful?
Contrary to LocalBitcoins, Paxful seems to note a solid user base in North America. However, with its domestic volume on the decline, it seems people in that region prefer trading on centralized exchanges. That is a bit of a shame, but not entirely surprising, given the vast options accessible to those residents.
Other regions note a much weaker trend for Paxful. Western Europe ranks fourth, behind Sub-Saharan Africa and Asia Pacific. Why that is the case is anyone’s guess at this point. It seems most Europeans don’t know Paxful exists or simply can’t be bothered to switch over from LocalBitcoins. There are also plenty of centralized exchanges in Western and Eastern Europe to choose from.
Based on these statistics, one has to wonder what will trigger the next Bitcoin bull run. It seems unlikely either LocalBitcoins or Paxful will play an essential role in that regard. Most trading happens through centralized platforms and OTC trading desks. Even then, it would be good to see an increase in P2P trading volume. For now, that has yet to materialize.