According to a report by Reuters dated February 25, 2025, a major shift towards crypto has been seen in small cities of India, primarily backed by fewer jobs and disappointing income.
It is worth noting that Indian cities like Jaipur, Lucknow, and Pune have been leading cryptocurrency adoption in the nation, also, a shift of traditional stock traders has been seen towards crypto trading.
In the last quarter of 2024, the recorded trading volume in Indian territory reached over $1.9 billion, which was 2x less than in the third quarter.
Steadiness in the Indian stock market directing traders towards crypto?
Over the last few months, the Indian market has lost a major portion, with collectively losing Rs. 26 lakh crores from January 31. Since the middle of 2024, the nation’s stock market has lost over $500 million.
With the continuous pullout of foreign institutional investors from the Indian market, traders also began to sell their holdings and see crypto as one of the most prominent alternatives to stocks.
According to several reports, despite a tough stance of the government over crypto, Indian residents remained eager to invest in crypto, seeking greater profit and opportunities.
With the growing adoption of crypto adoption in India several offshore exchanges are seeking an opportunity to reopen their services in the nation. It is worth noting that the regulators in India have collected crores in penalties from international exchanges.
Why are nations mirroring an unprecedented growth in crypto volume?
Following the clean swipe of Donald Trump in the recent presidential 2024, the global crypto market has seen many ups, with Bitcoin crossing the mark of $109k.
As per political experts, the major reason behind the victory of Trump is his changed stance for crypto, and his speech in July 2024 over Bitcoin helped him gain more publicity, further resulting in his victory.
After his appointment to the White House for the 2nd time he has been actively working making decisions for the traditional finance as well as the digital asset market.
Earlier this month the Trump office passed a few notices to different authorities of the United States in order to review the existing policies of the finance system hindering the growth of crypto.
However, over the past 48 hours, the crypto market has shown major bearish movement, until publishing the crypto market cap was below $2 trillion, which is the lowest recorded in the past 4 weeks.
Why does India have the highest number of crypto users?
There are several factors driving the crypto adoption in India, but one major is the steadiness in the stock market, and India has the largest population in the world.
Over time the unemployment rate in India has grown over time, which has redirected job seekers towards crypto, which requires less capital and offers more profit.
