In the past 24 hours, Google Searches for Bitcoin from Turkey erupted amid the discharge of the central bank governor and the consequential depreciation of the Turkish lira by 14%.
Major Signals
- The value of the Turkish lira fell 14% recently with the removal of the country's central bank governor.
- There has been a surge in bitcoin search results by 566% after this development.
Since late 2017, the Turkish lira has been losing value against the US dollar, with a 20% drop in August 2018. In 2020, it will have lost 24% of its value against the dollar, making it the world's second most devalued currency after the Brazilian real.
The Lira regained 15% by the end of the year, riding the wave of expectation for the Turkish economy after the Turkish President's son-in-law quit as minister of finance in November.
Inflation targeting was emphasized as a concern by the new CBRT governor and finance minister. Nonetheless, the president had an impact on monetary policy. Following the firing of the central bank governor, the value of the Turkish lira fell 14%, while Google searches for Bitcoin (BTC) from Turkey increased.
The lira fell 14% in a single day after Turkey's President Erdogan fired the country's central bank governor. The former governor Naci Agbal was credited with bringing the lira back from historic lows, in part by raising interest rates to combat inflation. According to BBC News, his sudden removal surprised both domestic and foreign investors.
Since the beginning of 2021, the Turkish lira has regained one-fifth of its value against the Dollar. Concerns that Naci Agbal's progression could be erased by the choice of the new governor, Sahap Kavcolu, a banker and politician who is said to disapprove of the use of high-interest rates to combat inflation, prompted the recent 14% drop.
Not only Turkish people are reconsidering their stance on cryptocurrencies. Turkey's Ministry of Treasury and Finance announced in early March that it would collaborate with the central bank and regulatory agencies to develop specific policies for the use of cryptocurrency.
The spike in the size of Bitcoin searches by Turkish citizens is an all-time high, reflecting nearly twice the number of searches observed during the bull market of 2017–2018.
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