The volume of Bitcoin transactions in the Philippines in May 2021 has decreased by 7% compared to the previous month according to data available for peer-to-peer exchanges Paxful and LocalBitcoins. This is the second straight month when the combined volume on both marketplaces has exceeded $6 million, with Paxful getting the lion’s share of the volume.
The article is part of our P2P Bitcoin Monthly Transaction Series.
For the month of May, the combined volume of transactions for both Paxful and LocalBitcoins totaled $6,038,321 based on the data from usefultulips.org, which aggregates information from the Paxful and LocalBitcoins APIs. This is a 7% decrease (or $496,804 less) when compared to April’s total volume of $6,535,125. April 2021 is still the single best month for P2P in the Philippines but May 2021 follows at a close second. Volume in the last two months are way higher than any previous volume recorded.
The chart below shows the volume since May for both marketplaces or a full year. Majority of the volume is still with Paxful while LocalBitcoins shows a relatively static growth since May 2020. Of the record $6,038,321, $5,652,724 or 93.61% of the volume is on Paxful.
Bitcoin began May 2021 in a sideways trend but has continued declining since Mau 9. It reached a low point of just above $29,000 on May 19 and has since gone sideways — between $30,000 and $40,000 until the 30th.
Reports of Tesla stopping to accept Bitcoin have proven to be a catalyst for the decline in the price of Bitcoin. News from Chinese provinces banning Bitcoin mining is another catalyst for the decline. As of June 15, 2021, the market appears to be recovering from the lows of May 2021.
Crypto exchange volume as reported by The Block has posted a record increase in volume this May 2021 vs the previous months.
Daily Exchange volumes are printing record numbers as well and while it has fallen off, it’s still relatively high vs all of 2020.
According to the Bangko Sentral ng Pilipinas (BSP), it expects an increase in cryptocurrency transactions and volume in the Philippines due to their increasing prices and store of value properties. These traits have attracted users in the Philippines have attracted users in developing countries like the Philippines, BSP’s Melchor Plabasan said in an interview. Virtual asset service providers in the country have processed around $1.5 billion between January to September 2020.
This article is published on BitPinas: May 2021 Paxful and LocalBitcoins P2P Bitcoin Transaction Volume Report