The thing is, he is not the only one to have noticed that the ordinarily buzzing cryptocurrency space has become unusually quiet lately.
Multiple smaller-scale crypto Twitter accounts echoed the sentiment of it feeling like a ghost town.
“I’m following 1300+ Twitter profiles. It’s like day and night when you compare activity last year and this year. So strange why everyone got silent”, expressed AmberPrekyba.
“I tend to agree. It’s a Twitter bear market”, added Ayor Trade.
What Happened?
In taking a more general look around, it seems that the excitement has left more than just the digital currency markets.
The world’s economies are still coping with the side effects of the global pandemic; Europe is facing the biggest full-scale war since WWII; oil and gas prices have surged to historic levels; and a few weeks after Russia sent troops into Ukraine, it was punished with unprecedented economic sanctions.
Meanwhile, inflation rates in the United States reached 40-year highs, leading to the voices warning of weaker economic growth, and possibly even recession, becoming stronger and more amplified.
Amid all of this geopolitical and macroeconomic turmoil, the cryptocurrency markets have been staring down a bear market for several months.
There are a great number of events happening around the planet right now. “So much that I’ve moved back to being a keyboard warrior and temporary geopolitical expert”, remarked some crypto users ironically.
But jokes aside, the crypto space has really slowed down. Many cryptocurrency bulls have gone quiet. Short-term holders are prioritizing less risky strategies, even turning into long-term investors who are nevertheless accumulating balances.
The amount of Bitcoins held in wallets with little to no history of spending has become 3.2 times higher than Bitcoin’s supply on exchanges, according to blockchain analytics firm Glassnode.
Logically, interest in short-term trading has simultaneously decreased. The largest U.S based crypto exchange, Coinbase (NASDAQ:COIN), reported 25% lower total trading volumes in February. Even the hype around NFTs has fizzled, with trading volumes hitting their lowest levels since July 2021.
The Bitcoin Fear and Greed Index is still in “Extreme Fear” territory with Bitcoin plunging below the $40K mark.
Even Google (NASDAQ:GOOGL) Trends data has revealed that searches for “Bitcoin” and “crypto” have been in consistent decline all over the world. According to Google Trends, the average search volume for “Bitcoin” was 100 in January ’22, but as of today people only had an average of 35 searches for the dominant coin.
Maybe it really is the “time to fight bigger demons right now”, as crypto community members have been saying. “If this is settled we can return daily crypto fun.”
Or maybe at least we could look at the situation from a different angle and work out the positives from the muted social media feeds which are usually teeming with activity and vocal personalities.
As some cryptonauts like to say, “the world is f****d up, but at least crypto bros have been quiet for a couple weeks.”
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Source: Cryptocurrency - investing.com
