Bitcoin has set a new milestone, with its trading volume reaching an astonishing $2.874 trillion in the first eight months of 2024. According to data from Paris-based Kaiko, this figure surpasses the previous record of $2.424 billion achieved during the 2021 bull market, marking a near 20% increase. This surge in activity highlights growing investor confidence and a robust market for the leading cryptocurrency.

Market analysts attribute this phenomenal growth to a rise in crypto volatility coupled with significant market participation. The analysis by Kaiko notes that events such as substantial inflows into U.S.-listed Bitcoin ETFs and anticipations of Federal Reserve rate cuts have fueled this uptrend, propelling Bitcoin prices to soar above $70,000.

Adding to the dynamic market conditions, Bitcoin’s volatility intensified last month due to economic uncertainties in the U.S. and shifts in the yen carry trade, affecting cryptocurrencies broadly. Despite these challenges, Bitcoin’s robust trading volume underscores its enduring appeal and resilience as a leading digital asset.