The level of interest in cryptocurrency has seen a significant decline, according to recent data from Google Trends. The term “crypto” has scored a mere 17 out of 100 in Google’s search data, indicating the lowest interest level since May 2021.
In 2021, online enthusiasm for cryptocurrencies surged, with crypto-related search terms peaking in May. This peak interest correlated with the highest levels of Bitcoin and Ethereum values. However, recent data shows that interest has dropped considerably, to levels that mirror those seen in late 2020.
This dwindling interest is mirrored in the performance of significant cryptocurrencies like Bitcoin and Ethereum, both of which have seen a similar downward trajectory. The stagnation in Bitcoin’s price, remaining steady at around $28,000 for the last ten weeks, could be a contributing factor. This price inertia was recently referred to as “lackadaisical” by Galaxy Digital CEO Mike Novogratz, suggesting a lack of “institutional excitement.”
Several factors can be attributed to this falling interest.
The downfall of LUNA, the recent closure of the crypto exchange FTX, escalating regulatory pressures, the bankruptcy of certain longstanding crypto exchanges, issues faced by crypto-friendly banks, and cyber-attacks have all affected the crypto industry’s image.
Additionally, the crypto sector has fallen out of favor, often due to these tumultuous events, further contributing to this decreasing interest.
Moreover, despite a brief spike in interest following FTX’s collapse in November, the overall search interest for “crypto” and associated terms has been consistently dropping since May 2022. This decline in enthusiasm coincides with the Terra Luna ecosystem’s fallout a month earlier, symbolizing a persistently cooling sentiment toward the cryptocurrency market.
In light of the recent Google Trends data, it is clear that the once-enthusiastic interest in the world of cryptocurrency has substantially dimmed. This may serve as a stark reminder that the crypto market, despite its potential, is still a volatile and unpredictable landscape.