A financial report circulating on social media platforms shows that CashApp’s bitcoin purchase volumes surged impressively in the third quarter of 2019. The data created impressive prospects for the emerging Bitcoin market. However, according to an independent analyst, the numbers were gloomy.
Friar Hass, who has a history of stalking and reporting CashApp’s financial quarters, noted that the application sold only 8.7 percent of the total produced bitcoins in Q3. Hass found the miners mined about 176,137.5 BTC spanning between Block Height 583,172 to 597,263. That pushed bitcoin’s total production value to $1.83 billion, out of which $159 million made to the CashApp platform, as read from the Square’s third-quarter investment letter.
Figures for last quarter below. 10% of supply was absorbed by CashApp then. More $ are going into CashApp – less BTC are coming out :phttps://t.co/6PCnN4wRFE
— Friar Hass (@FriarHass) November 6, 2019
The dollar-denominated statistic on CashApp pushed higher, marking an 18 percent quarter-to-quarter growth in volumes. But the total number of bitcoin purchases on CashApp slipped from 17,245 BTC in Q2 to 14,300 BTC, noting a 17 percent drop.
Higher Bitcoin Prices
The CashApp statistics from the second quarter showed the app absorbing 10 percent of total BTC production. In the said period, the bitcoin network had mined about 165K BTC worth circa $1.25 billion, priced at the then-average of $7,600 per BTC. Therefore, it was natural for the third quarter to post higher dollar-denominated bitcoin sales, even though the demand for the cryptocurrency on CashApp dwindled.
Avg price for the quarter was ~$7600.
~165k #bitcoin were mined in that time
=> ~$1.25bn worth of “mined supply” to be absorbed by the market.@cashapp absorbed 10% of the mining supply. https://t.co/srWZl3jnPF
— Friar Hass (@FriarHass) October 27, 2019
Square, nevertheless, was quick to claim a victory. The San Francisco firm duly credited bitcoin’s…