- Retail investors who bought at the end of last year led most market downturns for crypto in 2018
- But the CEO of crypto trading firm Genesis Trading says investors who got in at the beginning of 2017 are now selling for the first time
A bloodbath is currently gripping the crypto market, but something unique is happening in this downturn, according to the CEO of crypto trading firm Genesis Trading.
Earlier today, bitcoin prices fell from $5,556 to as low as $5,146, according to CoinMarketCap — a downswing of over 8%. The low represents a new bottom over the past 13 months, eclipsing the previous low of $5,158 on 12 October 2017 — extending the ongoing crypto bear market. The return of volatility to the crypto market has translated into more business for some of the largest cryptocurrency over-the-counter traders, including Genesis Trading, a subsidiary of Digital Currency Group led by Michael Moro. In an interview with The Block, Moro said the volatility uptick is making the firm busier, but noted a new type of seller that has emerged from this downturn that has been absent in others earlier this year. “We are seeing the folks who bought in early 2017 sell for the first time today,” Moro said in a phone interview. According to Moro, retail investors who bought at the end of 2017 led most sell-offs earlier this year. Now, investors who got in at the beginning of 2017 “are getting close to their cost basis.” To recap, bitcoin propelled from around $1,000 a coin in 2017 to nearly $20,000 at the end of the year. The tail-end of 2017 marked the entrance of hundreds of thousands of retail investors.