Do economic crises cause trading in Bitcoin?

Purpose The paper provides new evidence for Bitcoin’s safe-haven property by examining the relationship between currency price, return and Bitcoin trading volume. Design/methodology/approach A unique dataset from a person-to-person (p2p) exchange is used to investigate association volume prices. Currency returns are identify local economic crises, 8 crisis affected currencies Venezuela Bolivar (VES), Iranian Rial (IRR), Ukrainian Hryvnia (UAH), Argentine Peso (ARS), Egyptian Pound (EGP), Nigerian Naira (NGN), Turkish Lira (TRY) Kazakhstani Tenge (KZT). Findings demonstrates that crises positively associated with increased trading. There negative value (and return), suggesting low price depreciation accompanied results not only hold but also of advanced economies. Granger causality test reinforces results. Originality/value finding indicates some forms flight-to-safety have occurred during market when capital flight domestic markets Bitcoin, strengthening hedging asset status. However, total global declines after start COVID pandemic, still regarded as speculative asset. Overall, findings show protect against depreciation, crisis.