Bitcoin is nearing all-time highs, but analysts say retail investors are not showing as much interest as in previous years.
“Bitcoin is on the verge of new all-time highs, but retail interest is still almost non-existent,” crypto analyst Miles Deutscher said in an Oct. 29 post on X.
According to data from CoinGecko, Bitcoin (BTC) came very close to hitting a new all-time high on October 29th, reaching $73,562 at one point, but the stock price has since declined. The current price is $72,300.
Despite the recent rise, Google Trends data shows that search interest for “Bitcoin” currently stands at 23 out of 100 compared to the all-time peak of search volume in late May 2021. I am.
Search interest for “Bitcoin” since October 2019. Source: Google Trends
Remarkably, Bitcoin search interest still only generated a fraction of last week's “artificial intelligence” traffic.
Comparison of search interests between “Bitcoin” and “AI”. Source: Google Trends
When retail interest peaked during the last bull market, Coinbase often saw its rankings jump into the top 50 on Apple's App Store, but now it sits at No. 308, according to Sensor Tower data. are.
Still, Coinbase gained 167 positions on October 28th and 29th. This may suggest that rising crypto prices are starting to catch the attention of retailers.
Related: Bhutan government moves $66 million Bitcoin stash to Binance, price exceeds $71,000
An October 26 report by analysts at cryptocurrency analysis firm CryptoQuant found that while retail Bitcoin investors are “slowly returning” to the market, there will be a significant drop in large-scale Bitcoin investors throughout 2024. I shared that I was overtaken.
The report also said that daily remittances by BTC retail investors reached $326 million on September 21, the lowest level since 2020.
Change in retail investor trading volume ($0 to $10,000 transfers) on a 30-day moving average since 2020. Source: CryptoQuant.com
However, CryptoQuant analysts note that a drop in retail activity “often precedes a rise in Bitcoin prices,” so retail investors are likely to chase catch-up trades if Bitcoin suddenly rises. he pointed out.
The company's founder and CEO Ki Yong-joo also highlighted that institutional demand for Bitcoin in custodial wallets has doubled compared to retail demand in the past 12 months.
The launch of the U.S. Spot Bitcoin exchange-traded fund has contributed significantly to institutional ownership, with more than $22.7 billion in net flows since its launch in January, according to Pharcyde data.
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