March 5, 2024

Is The Love Affair With Bitcoin Falling Away?

bitcoin love affair

I’m fairly certain that one of the oldest break-up songs goes something along the lines of ‘why do all good things come to an end’ and it seems even the world of Cryptocurrencies is not immune to this phenomenon. Or is it just the way things work? Anyhow, Google has reported recently that the total number of searches in Google for Bitcoin in 2018 have taken a massive hit, it is a proportionate loss of 75% of keyword searches linked to Bitcoin. Which, statistically speaking, means that the worldwide infatuation with Bitcoin has evidently begun to wane, if not crash.

The Reason Behind The Drop

The overall trading prices for Bitcoin over the last couple of months have been rather, poor, to say the least. As a result of the bad trading values, many have become disgruntled and chosen to explore alternative currencies in a bid to find higher returns and have therefore gotten out of touch with Bitcoin. Google Trends published a report, showing the 75% drop in total searches that Bitcoin experienced since the start of 2018 and more interestingly that the search value halved itself over the months of March to May.

Insights From The Analysts

One of the original members of DataTrek Research, Nicholas Colas, stated in a press release that the lack of interest in Bitcoin on Google search was an ominous message for Bitcoin out on the exchange platforms. Colas, when addressing DataTrek Research’s established consumer base, stated that the company makes use of Google search data to make inferences on the market. One such inference is the probability of first-time investors within the Bitcoin market, at present that is not looking too good. Colas argued that Bitcoin has a lot of work ahead in order to recapture the minds of audiences across the globe.

The way Google Trends notes how much a particular topic trending is through a scale based on factors such as geographical location and time. The highest point on the scale is 100 and the lowest point is 0. At the start of the year Bitcoin sat on a relatively stable figure of 37, however, it had dropped to 9 this past Sunday. However, Google Trends was not the only source of data that Colas and his employees at DataTrek Research used to compile their grim view on Bitcoin.

What The Wallets Have To Say

Colas also looked at the figures gleaned from the amount of Bitcoin currently stored within Cryptocurrency wallets, the wallets are used as a proportional index for a desire for a currency within the market. At present the stats aren’t looking good in the wallets either, in 2017 the monthly rate of compounded growth was 7%, however, the current rate for a monthly compounded increase is only 2%.

Colas offered a crushing blow to any adverse arguments when he reminded the clients that Bitcoin requires a 5% per month rate of growth for any Bitcoin tokens stored within wallets to increase to a value that holds any real significance. The news could not be more dire, as Coindesk has already stated that the trading value of Bitcoin has sank by 50% in 2018.

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