Ethereum Trends in France, Bitcoin Trends in Brazil – Trustnodes

Ethereum Trends in France, Bitcoin Trends in Brazil

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Sao Paulo, Brazil

Ethereum was apparently trending in French twitter according to Alistair Milne, a bitcoin investor.

We couldn’t verify this ourself, suggesting it was a brief trend or a personalized one, but Neto Guaraci, a Brazilian journalist, reports bitcoin has been trending in Brazil for weeks.

For two weeks in a row, Bitcoin is the main topic on Brazilian Twitter with more than 122 thousands tweets.

Bitcoin trending in Brazilian Twitter, Jan 4 2021
Bitcoin trending in Brazilian Twitter, Jan 4 2021

But why is bitcoin booming in the giant South American country? One word: inflation.

After two decades of one digit inflation, for the first time the price of food is growing at an astonish rate. Rice is up 41%, milk 30%, beans 34% with official figures showing food prices are up 15% in general.

Brazil M0 money supply, Jan 2021
Brazil M0 money supply, Jan 2021

The Central Bank of Brazil has printed trillions last year while also maintaining the interest rate at the lowest level in history.

The Brazilian deficit is getting dangerously close to 100% of the GDP without any measures to cut government spending or boost the economy.

As a result the Brazilian Real (BRL) was the worst performing currency against the dollar in 2020, even worse than Argentina’s Peso or the Turkish Lira.

Brazilian Real / US Dollar, Jan 2021
Brazilian Real / US Dollar, Jan 2021

So it’s not surprising that bitcoin is booming on Brazilian Twitter. Exchange volumes are at record highs too as the number of crypto funds and the price skyrockets more than 475% against the BRL since the beginning of 2020.

The Brazilian government also appears to be friendly towards this space, with the bitcoin wave that began in Venezuela, now seemingly spreading to one of the world’s biggest economy.

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