Fiat inflow into cryptocurrency is taking place like the start of the 2017 bull run. Kain Warwick, the chief executive at Blueshyft, an Australia-based payment processing service, revealed this through a tweet on the 4th of April.
The Influx of New Fiat Into Cryptocurrency
Kain Warwick noted in a tweet post on April 4 that, “Yesterday @Blueshyft saw the highest single-day deposit volume since May 2018. That is new fiat inflow into crypto, and retail buyers are coming back into the market.”
Also, Warwick noted Bitcoin’s recent record volumes are the continuation of a trend, rather than a one caused by Bitcoin’s impressive surge during the week.
Warwick explained that “We work with a lot of exchanges, and we’ve seen a pretty steady increase in the volume of deposits over the past two to three months, which in 2016 was a very very strong leading indicator of the rally we saw in late 2016 all the way through to the end of 2017.”
Further, He said that it is one of the best indicators for him and it is a sign of organic interest that people want to put money into crypto. Also, Warwick stated that trading volume is easy to manipulate, but it is much harder to manipulate the interest of organic money coming into the ecosystem.
Blueshyft is a company which comprises of a network of over 1,300 Australian retail stores that accept cash and card payments on behalf of cryptocurrency exchanges. This week’s volume was Blueshyft’s best since December 2017 in terms of fiat-to-crypto trades according to Warwick.
Recent Bull Run
The recent surge in the crypto market has made many crypto enthusiasts believe that the bear market has ended, and the bull run has started. Also, various technical analysis of the crypto market has indicated the bull run is starting.
A veteran trader Peter Brandt noted on Twitter recently that the bitcoin price could be on the verge of a “parabolic” phase, like the 2017 experience that drove Bitcoin to its all-time high.
Also, Fundstrat Global Advisors head of research Thomas Lee stated the Bullish run is being triggered by the accumulation of the dominant cryptocurrency by whales that bought bitcoin very early, and sold some of their holdings when the asset hit a price of $20,000. This demonstrates the confidence of investors in the long-term trend of the market according to Lee.