Amid the recent boom, the cryptocurrency market has received a lot of attention.
But as Bloomberg News reported on Friday (Nov. 29), retail investors may not be embracing the boom in the same way they did during the pandemic. Maybe it's because they remember how quickly the 2021 bubble took to burst.
“From a retail perspective, we're seeing a significant uptick in Bitcoin transactions, so we're definitely seeing an increase in interest,” said Josh Gilbert, market analyst at eToro. “However, it has not yet reached the levels seen in previous cycles, indicating that many retail investors are still watching on the sidelines.”
Some industry insiders have pointed to institutional investors' demand for Bitcoin as the catalyst for the $1 trillion surge in the cryptocurrency market that followed President Donald Trump's election victory last month. The president-elect campaigned on the concept of friendlier cryptocurrency regulation and the creation of a U.S. strategic Bitcoin reserve.
Additionally, retail investors have Some argue that it is already increasing its involvement in the crypto sector.
“There are clear signs that retail investors are returning to the crypto market post-election,” said Caroline Bowler, CEO of digital asset exchange BTC Markets.
She said a significant number of trading accounts that had been dormant since 2020 and 2021 were reinstated last month.
President Trump has turned the United States into the world's cryptocurrency nexus, according to a report, and the Security and Exchange Commission (SEC) crackdown on the sector comes after a market rout and a wave of fraud within the industry. It has pledged to reduce the size of the Bloomberg said President Trump's inauguration is likely to push “more crypto executives into the spotlight.”
Among these executives is controversial crypto entrepreneur Justin, who last week invested $30 million in World Liberty Financial, making it the largest investor in a crypto company backed by President Trump. Sun is also there.
“I am very optimistic about the Trump administration and its crypto regulations,” Sun told Bloomberg.
The SEC last year accused Mr. Sun and his company of fraud and other securities law violations, including making an unregistered sale or offering. Sun maintained that he believes the SEC's claims are “baseless.”
See more: Bitcoin, Cryptocurrency, Crypto Investing, Crypto Regulation, Cryptocurrency, Donald Trump, Justin Sun, News, PYMNTS News, Retail Investors, SEC, Securities and Exchange Commission, Latest Information
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