Bitcoin to Czech Krone: Trade BTC to CZK Pair and Track Its Real-Time Price
The Bitcoin to Czech Krone pair tracks the relationship between the cryptocurrency Bitcoin and the official currency of the Czech Republic, the Czech Koruna.
The koruna has been the official currency of the Czech Republic since 1993 and while it is not among the most traded currencies in the world, it is still an important one in the European Union, as the country has not yet adopted the euro as its official currency.
CZK doesn’t feature the same levels of liquidity of other more popular European fiat currencies such as the Pound Sterling or the Swedish Krona, yet it is still an attractive currency to pair with Bitcoin for those who understand the fundamentals that drive the price of European currencies.
As a result of this potential illiquidity, the price of CZK can be more volatile, which means that the value of BTC/CZK can fluctuate significantly in the event that the value of CZK experiences a sudden big jump or drop.
CFDs are among the most popular financial instruments used to engage in transactions with BTC to CZK pair, as they can be used to take both short or long positions to benefit from any directional price movement in the underlying financial assets.
Ever since it was introduced in 2009, Bitcoin has revolutionised the world by providing an alternative digital payment method that guarantees the anonymity of the parties involved, along with the transparency of the transaction.
On the other hand, Bitcoin has gone from being an innovative payment method to become a major player in the financial world, as cryptocurrencies are now being considered a suitable financial asset, especially for portfolio diversification.
As a result, financial institutions, regulators, and traders are more interested than ever in the potential of digital currencies, which means that the demand for BTC and ultimately the value of BTC/CZK is likely to fluctuate over time, allowing traders to benefit from anticipating these moves.
With a small population of approximately 10 million residents, the Czech Republic is the 45th largest economy in the world and an active member of the European Union. Industrial activities and services account for most of the country’s GDP. Its most important commercial partners are other members of the European Union, which means that the value of CZK is highly influenced by the economic development of the region.
Even though the country is obligated to implement the euro as its official currency, the government has postponed the measure as the population has voted against the adoption of the monetary unit, according to recent polls.
Meanwhile, the value of CZK has faced a significant drop throughout the year, as the recent coronavirus health emergency has affected important European countries such as Italy, France, Germany and the UK, which are key commercial partners for the country. As a result, the country faces a potential economic slowdown due to lower exports.
Traders can follow a real-time price chart of BTC/CZK provided by Capital.com to analyse trends and identify potential trading signals to take either long or short positions in the Bitcoin to Czech Krone pair.