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Retail ‘Not Ready’ to Come Back Yet, LunarCrush CEO Says Investor Interest Remains Low
- Joe Vezzani notes institutional investment boosts crypto, but retail confidence remains shaky, awaiting a potential Bitcoin surge.
- LunarCrush data shows retail interest and social interactions with crypto significantly lower than during previous bull markets.
- UniSwap’s recent regulatory notice adds to the crypto market’s volatility, complicating the path for retail investor return.
Joe Vezzani, CEO of social media analytics and research platform LunarCrush, said in an emailed statement that the surge in digital assets over the past few months primarily stems from institutional investment – and retail investors have yet to regain confidence in the crypto market.
Related: ASIC Files Appeal Against Federal Court’s Finder Wallet Decision
While Bitcoin and other top cryptocurrencies are rallying hard, retail investors are not yet believing the hype this time around.
Joe Vezzani Vezzani indicates that, according to data from LunarCrush, social interactions and retail interest in cryptocurrencies remain significantly lower than during the previous major bull run.
The CEO added that institutional investors are currently driving the market, suggesting that a surge in Bitcoin’s value to new highs may depend on whether retail investors begin to experience a fear of missing out (FOMO).
Whether Bitcoin can hit a new all-time high this week will likely depend on if everyday investors start to FOMO in.
Joe Vezzani He notes the absence of such FOMO at the moment but thinks that if Bitcoin’s price exceeds US$75K (AU$115K), it could serve as a pivotal moment to attract retail investors back into the market significantly – emphasising the importance of the upcoming weeks for the cryptocurrency sector.
We’re not seeing that fear of missing out yet, but if Bitcoin breaks above $75K, that could be the catalyst to bring retail back into the market in a big way. It’s a crucial week ahead for the crypto space.
Joe Vezzani UniSwap’s SEC Woes Signal Ongoing Volatility in Crypto
As the market eyes these crucial developments, another story unfolded that underscores the complexity of the crypto ecosystem – and may not help getting retail investors back.
UniSwap, a leading decentralised finance (DeFi) platform, recently received a Wells notice from regulatory authorities, signalling potential securities law violations.
Related: DeFi Protocol UniSwap Receives Enforcement Note Over Securities Law Concerns, Vows to Fight Back
While investors and enthusiasts closely watch the market for new developments, regulatory actions such as the one against UniSwap highlight the precarious balance between innovation, investor excitement, and the need for compliance. Whichever way this unfolds, it’s an unwelcome drama for the crypto world.
Author
Aaron Feuerstein
Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.
