As Bitcoin, the world’s largest digital asset, continues fluctuating in price, the impact has been quite resounding. Digital asset performance has affected the crypto market and investors, as well as the outlook on Google Search trends.
Bitcoin price instability and profitability outlook
Since attaining its all-time high of $73,800 before the Bitcoin halving event in April, BTC has not retested these levels. Bitcoin’s price instability has been fueled by several factors over the past months.
These include the German authorities’ sales of BTC and Mt Gox redistribution, which further crashed the price. As per data, in the last seven days, it has traded below the $60,000 level in the market.
As of writing, the price of Bitcoin was $56,748, down 0.64% in 24 hours. Despite this bearish sentiment, investors have maintained a positive profit margin.
As noted by Glassnode, an on-chain analytics platform, this profitability only applies to long-term holders. These investors include those who purchased when the price traded far lower than the current market value.
However, it differs for short-term holders or investors who entered the crypto space within the past six months. These investors likely bought Bitcoin when its price was above $60,000, with current market fluctuations plunging them into losses.
Notwithstanding the current price outlook, enthusiasts like Anthony Scaramucci remain optimistic about a $100,000 price value.
Declining Public Interest as Prices Fluctuate
The performance of the assets has also led to a diminishing public interest in Bitcoin.
On-chain analyst Ali Martinez highlighted that Google searches for “Bitcoin” have dropped to their lowest in 13 months. The dwindling search interest shows fewer investors seek information about crypto assets.
This could be due to the prevailing price fluctuation, general bearish sentiments, or a switch to altcoins. Analysts suggest this could signal that the Bitcoin market is in a “quiet phase.” This implies that most investors have adopted a holding stance and are watching for bullish signals.
A reversal in price outlook might trigger a surge in public interest.
Bitcoin ETF, Institutional Adoption and the Potential for a Market Rebound
In the interim, long-term and short-term investors expect stability in the king coin’s prices. Many remain optimistic that spot Bitcoin exchange-traded funds (ETF) could help revert this bearish trend.
With institutional investors now turning to Bitcoin, any potential reverse in the bearish trends could trigger a FOMO. With spot Bitcoin ETF as a legitimate channel, the entry barriers are arguably removed.
Notably, Zurich Cantonal Bank, one of Switzerland’s large banks, recently launched crypto trading in addition to its traditional securities. This is another proof of global institutional adoption that might help the BTC price resurgence in the long run.
The move has elicited interest amongst investors as it further expands the frontiers. Meanwhile, Metaplanet has continued to increase its BTC accumulation. Since it embraced Bitcoin, the firm has steadily grown its holdings to over 300 BTC.
Market watchers believe that if more institutional investors embrace spot Bitcoin ETF or related instruments, the coin’s fortune might change for good. As seen previously, any bullish trend in Bitcoin might reshape sentiment in the coin, even on Google Search.