[2018-08-14] Turkish Bitcoin Volume Soars as Traders Flee the Lira

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Quote from: veleten on August 19, 2018, 03:56:40 AM

it would not be wise for turkish people to buy and hold dollars given the current state of affairs
Erdogan blames the US directly for trying to organise a military coup,probaby not without a reason,too
it is only reasonable for the money to flow to some safer heavens which is not Lira but bitcoin,as funny as it may seem given the volatility of BTC
Turkey is eyeing national currency trades with Russia and China,ousting dollars and this is a huge threat to the dollar system as it can create a precendent
expect very interesting things to happen very soon in this region,don't forget that Turkey is buying russian S-400 air defence systems

People there have the option to help themselves and dump the majority of their Lira's, or be a brave citizen according to how Erdogan want you to be, and swallow every economical difficulty that you'll be going through, and there will be many in the forthcoming years.

Turkey has been a historically weak country economically, and that will never change. If people still don't see how important it is to hedge your wealth, because they are either ignorant or too proud (which seems to be a big deal for them), I seriously don't know what will make them see it. The Euro is my native currency, and I have zero faith in it and therefore hedged the crap out of it years ago already. You only harm yourself when you act overly loyal to a government that's not capable of running an economically successful country.

I have seen videos where Turkish people were breaking their iPhones as statement, lol. Probably phones that were broken already. Cheesy

veleten

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Quote from: jjacob on August 17, 2018, 01:49:02 PM

I am surprised that this is happening in Turkey, because there are no capital controls in place. People can buy and decide to hold dollars, if they are uncomfortable holding Lira. There is a threat of the government imposing capital controls, but there are none at the moment.

it would not be wise for turkish people to buy and hold dollars given the current state of affairs
Erdogan blames the US directly for trying to organise a military coup,probaby not without a reason,too
it is only reasonable for the money to flow to some safer heavens which is not Lira but bitcoin,as funny as it may seem given the volatility of BTC
Turkey is eyeing national currency trades with Russia and China,ousting dollars and this is a huge threat to the dollar system as it can create a precendent
expect very interesting things to happen very soon in this region,don't forget that Turkey is buying russian S-400 air defence systems

Sutters Mill

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Quote from: mindrust on August 18, 2018, 07:24:54 AM

I am dumping my Liras for BTC every month since March. I am pretty confident with the results so far. I know BTC can and will recover against USD because no country is depended on BTC while making exports.

That's the main problem with FIAT currencies. Turkish Lira has no choice but to go lower and lower against USD and anything else just like USD has to go lower in value against Gold, Bitcoin and other similar stuff with limited supply.

Turkey has to compete with the other manufacturers and the best way to do it (other than raising the quality of your product which makes no sense after you hit a certain point because the returns are too low compared to the effort you spend) is giving it away cheaper than its competitors. China has been doing this for years that's why Trump is so mad at them.

That's why as soon as Lira crashed Trump raised tariffs on steel coming from Turkey. They don't want to get drowned in cheap Turkish steel.

BTC has none of these problems. None. It may very well reach One fucking million dollars in the future.

Bitcoin has fallen nearly 20k to 6k in a matter of months. It's far from a foolproof strategy and is just as risky if not more risky that holding a falling fiat. I'm a believer it bitcoin don't get me wrong, but I wouldn't put all your eggs in one basket as they say.

Quote from: stompix on August 18, 2018, 10:41:37 AM

Quote from: ruthbabe on August 13, 2018, 08:54:35 PM

Trade volume on domestic exchange Btcturk is up 350% in the last 24 hours, with BTC capturing 38% of the action.

And as usual the devil in the details....

So they flee from a fiat currency that is turning worthless to a cryptocurrency that will turn worthless...
Can somebody explain why the hell are they doing buying ripple?

Anyhow, it might be a 350% increase but it's still only 7 million in volume, compared to the size of the country it's peanuts, I hope they are buying on other exchanges in much larger volumes.

Maybe because it's cheap? I find that many users are constantly looking for the next best thing and coin where they hope they'll make huge gains. They don't usually do their research though and those who are going to get rich off ripple will have already done so.

mindrust

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Quote from: stompix on August 18, 2018, 10:41:37 AM

So they flee from a fiat currency that is turning worthless to a cryptocurrency that will turn worthless...
Can somebody explain why the hell are they doing buying ripple?

I believe they find it appealing that ripple is down 91% from its ATH price. I don't see any other explanation.

While I too believe Ripple is a piece of shit, I am also much surprised that it is around since the day it was introduced.

Look at this shit: https://coinmarketcap.com/historical/20140511/

This snapshot is from May/2014 and fucking ripple was on still the 3rd spot, smiling.

From 2015, https://coinmarketcap.com/historical/20150208/

Again 2nd spot.

We are in 2018 and it is still on the 3rd spot.

I am not exactly sure how they do it but so far they managed to do it and even though I fucking hate ripple me too considering to buy some to get a potential x10 profit. (bad sign Grin

)

That's not only the Turkish people who keep Ripple alive some other stuff is going on in the background.

P.S. I've never ever touched that shit ever before.

stompix

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Quote from: ruthbabe on August 13, 2018, 08:54:35 PM

Trade volume on domestic exchange Btcturk is up 350% in the last 24 hours, with BTC capturing 38% of the action.

And as usual the devil in the details....

So they flee from a fiat currency that is turning worthless to a cryptocurrency that will turn worthless...
Can somebody explain why the hell are they doing buying ripple?

Anyhow, it might be a 350% increase but it's still only 7 million in volume, compared to the size of the country it's peanuts, I hope they are buying on other exchanges in much larger volumes.

mindrust

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I am dumping my Liras for BTC every month since March. I am pretty confident with the results so far. I know BTC can and will recover against USD because no country is depended on BTC while making exports.

That's the main problem with FIAT currencies. Turkish Lira has no choice but to go lower and lower against USD and anything else just like USD has to go lower in value against Gold, Bitcoin and other similar stuff with limited supply.

Turkey has to compete with the other manufacturers and the best way to do it (other than raising the quality of your product which makes no sense after you hit a certain point because the returns are too low compared to the effort you spend) is giving it away cheaper than its competitors. China has been doing this for years that's why Trump is so mad at them.

That's why as soon as Lira crashed Trump raised tariffs on steel coming from Turkey. They don't want to get drowned in cheap Turkish steel.

BTC has none of these problems. None. It may very well reach One fucking million dollars in the future.

Betwrong

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I stand with Ukraine.

Quote from: Samarkand on August 17, 2018, 05:15:37 PM

~

Imagine getting rid of your worthless Turkish Lira and buying a shitcoin
like XRP or ETH.

Turkish Lira is down ~70 % for the year
XRP is down ~86 % for the year
ETH is down ~61 % for the year

Jump out of the frying pan into the fire...

I think there is a big difference between Turkish Lira and established crypto currencies. Look at today's charts, for example:

It's hard to imagine a situation when TRY rises against USD 10% in one day. Maybe exchanging your Lira to some sh*tcoins is a bad idea, but exchanging it to good ones is different. Nevertheless, I agree that the best you can do, especially if you are not an expert in alt coins, is buying BTC with it.

Samarkand

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Quote from: darkangel11 on August 17, 2018, 05:21:47 PM

...
I wouldn't be too sad about that ETH investment. I'd still save up 9% compared to the Lira and it's actually a promising altcoin with quite a high chance of making a bounce, even if it ends up being a dead cat.
...

But why would you want to buy ETH when you could also buy BTC, which is obviously
the better coin? According to the article getting money to the exchanges isn´t really
a problem for the Turkish users (no real capital controls) and therefore they can pick
between all available cryptocurrencies. I´d argue that BTC is much more suitable
for wealth preservation than ~~Scamthereum~~ Ethereum.

Additionally, I assume that every bounce of the ETH price will immediately compel
ICO founders to get rid of further parts of their ICO proceeds. Some ICOs
are sitting on hundreds of millions worth of ETH (especially big ICOs like
Tezos that raised a ton of ETH before the end of 2017 bull run) and they will have to liquidate their
ETH at some point.

darkangel11

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Don't let others control your BTC -> self custody

Quote from: Samarkand on August 17, 2018, 05:15:37 PM

Quote from: darkangel11 on August 17, 2018, 02:25:05 PM

...
Imagine the horror of a minimum wage worker who finds out that with the current value of his money he must have been working for half
or less than half of the minimum wage for the past 10 (or more) years. Suddenly you come to a conclusion that you were working for food and water, like a slave.
...

I think you overestimate the amount of savings that most minimum wage workers have
accumulated. Most are just getting by without saving anything. Of course it is still a tragedy
for the workers, who actually were able to save at least a fraction of their income.

From the article:

Quote

While Turkey’s interior ministry has been threatening to take legal action against almost 350
social media accounts deemed to have made “provocative” comments against the lira,
cryptocurrency holders have been busy exchanging their TRY for BTC, XRP, and ETH

Imagine getting rid of your worthless Turkish Lira and buying a shitcoin
like XRP or ETH.

Turkish Lira is down ~70 % for the year
XRP is down ~86 % for the year
ETH is down ~61 % for the year

Jump out of the frying pan into the fire...

I wouldn't be too sad about that ETH investment. I'd still save up 9% compared to the Lira and it's actually a promising altcoin with quite a high chance of making a bounce, even if it ends up being a dead cat. ETH going up by 10% in the next 3 months is very probable while the same thing happening to the Lira in such a short time is almost impossible. Fiat currencies have a tendency to remain in the same state for many months. If they go down, you can expect more trouble, while a crypto downtrend is mainly caused by fear.

Samarkand

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Quote from: darkangel11 on August 17, 2018, 02:25:05 PM

...
Imagine the horror of a minimum wage worker who finds out that with the current value of his money he must have been working for half
or less than half of the minimum wage for the past 10 (or more) years. Suddenly you come to a conclusion that you were working for food and water, like a slave.
...

I think you overestimate the amount of savings that most minimum wage workers have
accumulated. Most are just getting by without saving anything. Of course it is still a tragedy
for the workers, who actually were able to save at least a fraction of their income.

From the article:

Quote

While Turkey’s interior ministry has been threatening to take legal action against almost 350
social media accounts deemed to have made “provocative” comments against the lira,
cryptocurrency holders have been busy exchanging their TRY for BTC, XRP, and ETH

Imagine getting rid of your worthless Turkish Lira and buying a shitcoin
like XRP or ETH.

Turkish Lira is down ~70 % for the year
XRP is down ~86 % for the year
ETH is down ~61 % for the year

Jump out of the frying pan into the fire...

darkangel11

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Don't let others control your BTC -> self custody

Quote from: jjacob on August 17, 2018, 01:49:02 PM

I am surprised that this is happening in Turkey, because there are no capital controls in place. People can buy and decide to hold dollars, if they are uncomfortable holding Lira. There is a threat of the government imposing capital controls, but there are none at the moment.

They are doing it because they're fed up with fiat money. They were being told that Lira represents stable value, so they weren't really preparing for the crisis, and living their normal lives. Getting paid a certain amount every month, saving up, whatever they could... and suddenly their savings became worth 50% of what they used to be. Imagine the horror of a minimum wage worker who finds out that with the current value of his money he must have been working for half or less than half of the minimum wage for the past 10 (or more) years. Suddenly you come to a conclusion that you were working for food and water, like a slave. In 2015 you could buy a car with your savings, kept saving for another 2 years, but you now can't even buy that same car, even though you have more money.

jjacob

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I am surprised that this is happening in Turkey, because there are no capital controls in place. People can buy and decide to hold dollars, if they are uncomfortable holding Lira. There is a threat of the government imposing capital controls, but there are none at the moment.

FXTradingPro

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Quote from: ruthbabe on August 13, 2018, 08:54:35 PM

Do you think the Turkish lira can recover or will the flight to cryptocurrency increase? Let us know your thoughts below.

The Turkish Lira and the Turkish economy are in complete shambles and will not recover anytime soon. He has family members running the economy and central bank. Turkey has taken a hard-line stance with the US and in this day and age that can't end up good. BTC is an ideal choice for the Turkish people.

Lucius

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Quote from: AXELNetwork on August 15, 2018, 11:18:28 AM

Quote from: ruthbabe on August 13, 2018, 08:54:35 PM

Do you think the Turkish lira can recover or will the flight to cryptocurrency increase? Let us know your thoughts below.

It will likely increase, it doesn't seem like the Lira will recover anytime soon so what we're seeing is something similar to what happened in Venezuela.

I can only say someone wants to make a new Venezuela in this part of word, but it will not be an easy task. Turkey already started with countermeasures and pump some 15$ billion in its financial system (Qatar loan), which was immediately visible on lira rise to US $, but also with Turkish higher import tariffs on US products like cars, alcohol, and tobacco.

It is interesting that in some European countries there is a great demand for Turkish lira, people are buying it cheap to profit when go on vacation in that country. Is that smart or not they will see when they get there, but it is true that average person can get more lira for they money now then before.

onrise

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For now it is good thing for the btc as prices soars due to high volume of buying happening from that country. But considering in some months when the Lira gets stronger people will dump btc and at that time market may fall just like how it is rising now. Will need to wait and see how the markets react.

Betwrong

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I stand with Ukraine.

By the irony of circumstances the very people who support Erdogan will suffer most from this situation. Western-oriented folks are exchanging Turkish Lira for BTC and in 4-6 months they will be thankful that they were forced to do that, while mostly uneducated Erdogan supporters are not only not buying BTC but burning their US Dollars ridiculing the US and the Trump administration. It's not hard to predict that in several months they will be even poorer than they are now.

To be honest, it's a doubtful pleasure to be gloating over the misfortunes of others. But, c'mon people! Educate yourself! We are living in the era of the Internet ffs.

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Quote from: aoluain on August 16, 2018, 02:49:16 AM

It is definitely heartening to see bitcoin used as an escape method while
the local FIAT collapses. We will definitely see this happening again and
again as countries struggle in the future.

The only positive aspect is that buying properties and whatnot in Turkey for foreigners has become a whole lote mor interesting with strong EUR and USD. In the end everything has its pros and cons, and these shaky countries quite often offer the best possible investment opportunities. Horrible situation for the locals, great opportunities arise for foreign investors.

1BTC = 36,800 Lira, which is like a small fortune in Turkey. People in normal circumstances can do equally as much or even more with 1 Lira in Turkey than they can do with 1 EUR/USD in their own country. I have actually considered buying into Lira with my EUR, but haven't done so yet because I think we haven't seen the worst yet.

aoluain

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Quote from: snipie on August 16, 2018, 02:35:22 AM

Bitcoin remains the safest place to hold your money in countries with economics difficulties especially if sanctions are taking place like Turkey now. Although, this economic crisis may just be temporary but it incites people about the benefits of following cryptocurrency revolution Wink

Yes the crisis may be averted as Quatar are giving Turkey a $15bn loan.
Its funny how the U.S imposes tarrifs on Turkish metal, this affects the
weak turkish Lira and we still refer to currency in $'s

It is definitely heartening to see bitcoin used as an escape method while
the local FIAT collapses. We will definitely see this happening again and
again as countries struggle in the future.

snipie

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Bitcoin remains the safest place to hold your money in countries with economics difficulties especially if sanctions are taking place like Turkey now. Although, this economic crisis may just be temporary but it incites people about the benefits of following cryptocurrency revolution Wink

BitHodler

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Quote from: Sutters Mill on August 15, 2018, 07:18:44 AM

Besides, existing regular fiat ATMs could even be adapted to deal with btc. It wouldn't be difficult to do at all. You can still just do cash trades or use exchanges. Thigns would quickly change and adapt to meet demand however.

It's already a real thing in Slovenia. Legacy ATMs of a specific bank allow people to use it for fiat and Bitcoin at the same time. People no longer have to doubt about the legitimacy of shady Bitcoin ATMs asking for ID and such.

I however expected more banks and countries to follow, but there hasn't been any further development in this field. Imagine long queues with people during bull runs trying to FOMO in just to be part of the rally. Cheesy

I know how things go when the price spikes because there is an ATM located near me and I frequently (just for the lols) check how crowded the ATM corner is, and it is enjoying a significant amount of use despite its fees.

Topic: [2018-08-14] Turkish Bitcoin Volume Soars as Traders Flee the Lira (Read 340 times)