Russia’s Possible Bitcoin (BTC) purchasing to Navigate Global Sanctions Surges Cryptocurrency Prices.
The last 12 hours have been a pleasurable moment for cryptocurrency investors as digital currencies enjoyed a massive rally on Monday evening.
Bitcoin and Ethereum Surges Over 10%
According to data on Coingecko, Bitcoin (BTC) and Ethereum (ETH) have skyrocketed more than 10% in the last 24 hours, thus putting smiles on the faces of cryptocurrency traders again.
Per the data, Bitcoin, which was trading at around $38,000 by this time yesterday, is currently up 14% and is changing hands at $43,500.
Similarly, Ethereum (ETH), which dipped below $2,700 during the weekend bloodbath, is up 11.3% in the last 24 hours, and it is trading around $2,926 at press time.
Other Cryptocurrencies Follow
Aside from the two largest cryptocurrencies by market capitalization, other cryptocurrencies like Terra (LUNA), Ripple (XRP), Dogecoin (DOGE), Avalanche (AVAX), Cardano (ADA), and Solana (SOL), among others, have enjoyed major surges within this timeframe.
LUNA has had the most significant rally in the last 24 hours, rising 23% during this time, while ADA, SOL, and AVAX are up 10.2%, 10.1%, and 15%, respectively.
Ripple and Dogecoin have seen a slight increase of 6.2% and 6.4%, respectively, over the last 24 hours.
While the cryptocurrency market has been reacting positively over the last 24 hours, it is worth noting that the stock and commodity markets have not been able to replicate the feat.
Russia Turning To Bitcoin
According to widespread reports, following the massive sanctions lined up for Russia based on its ongoing invasion of Ukraine, the country is considering turning to Bitcoin and other cryptocurrencies to navigate these sanctions. Market sentiment states that sanctions may lead to a rise in Bitcoin adoption. Rumors about Russian purchases of Bitcoin are spreading.
Over the weekend, after days of hesitation, the United States and Europe resolved to remove Russian banks from using SWIFT, a messaging network supporting global financial transactions.
The move, which will have negative implications for Russia’s financial industry, was seen tumbling the market capitalization of the Russian Ruble, with the BTC flipping the currency to become the 14-largest global currency.
However, the SWIFT ban may not affect Russia’s economy as the country is reportedly considering adopting Bitcoin payments and may exploit European nations’ heavy reliance on its gas supplies.
Cryptocurrencies Rival SWIFT
In a recent note, aside from the possibility of Russia purchasing the world’s largest cryptocurrency, digital currencies are now being considered as close competition to SWIFT, Edward Moya, a senior analyst with OANDA, said. Supporting Moya’s comments, Michaël van de Poppe, a top cryptocurrency trader, said:
“Bitcoin and all the top altcoins are rallying today as investors realize the likelihood of massive investments into DeFi following the latest round of Russian sanctions.”
Poppe further suggested that Bitcoin and other cryptocurrencies could continue the rally in the coming weeks.
However, should Russia turn to Bitcoin and other cryptocurrencies, there is a possibility that global regulators could place stringent measures on the asset class to undermine its value further.