Cryptocurrency News

Retail Interest in Crypto Declining with Investors Looking for Next Big Price Mover

Cryptocurrency investors are hoping that public perception will shift dramatically, which would see institutional and retail traders add in a ton of capital. However, things are not looking good for these bulls because data shows that the opposite seems to be happening for about a year now. The biggest evidence of this fact is the declining number of searches for Bitcoin (BTC) made on Google. Likewise, a similar pattern can also be seen when search results for Ethereum, the leading smart contract platform, are checked. Interest in ETH had peaked back in May 2021 in the second week but has declined since then.

Currently, Ethereum’s search interest has reached its lowest level, after December 2020. Keeping this information in mind, crypto investors may now think about reevaluating where the market is going to get its next major boost because big price movements are undoubtedly known for generating a great deal of retail interest. The total exchange trade volume that can be seen on some of the notable exchanges is another indication of the declining rate of interest in crypto. On April 19th, the volume was about $165.8 million, which is the lowest it has been since October 2020.

Dune Analytics provided data, which showed that there was a similar decline in interest in decentralized exchanges (DEXs) and decentralized finance (DeFi). The trading volume on decentralized exchanges is currently lower than what it had been back in January last year when the DeFi sector was expanding and the bull-run was just kicking off. As of now, the non-fungible token (NFT) sector is the only source of hope for the crypto ecosystem for now. Daily trading volumes of NFTs have gone up at OpenSea, which is the largest marketplace for these tokens. With NFT market activity rising, some of the leading projects have also seen their floor prices soar.

This suggests that the NFT space is gathering momentum. It could partly be because of the attention being generated by some projects, such as Bored Ape Yacht Club and ApeCoin (APE), which it released recently. However, it is yet to be seen if NFTs are enough to generate the speculation and hype that could result in higher inflows in the crypto space, or if this sector will also flame out in the same way as the ICO boom back in 2017 and 2018. Investors are keeping their eye out on the next big thing that could help shift momentum.

Show More

Leave a Reply

Your email address will not be published. Required fields are marked *

Skip to content