Bitcoin is performing far better than other big tech companies like Apple, as per its trading volumes
It is quite known that the year 2022 marked the worst performance of Bitcoin. The crypto has plunged more than 60% this year, and even though the token has already embarked on its recovery journey, its massive volatility still persists. According to key indicators, the BTC token has shed over 70% of its value since its all-time highs of approximately US$68,000 in November 2021. The entire crypto market felt this pain, as major altcoins like Ethereum, Solana, and others plummeted soon after BTC’s value struck its all-time lows of 2022. The BTC trading volume also declined majorly. According to reports, the total crypto trading volume declined by a landslide as a result of which crypto businesses are suffering immaculately. Several exchanges and hedge funds have already filed for bankruptcy, at the end of which, investors are enduring more financial losses. But no matter what, the crypto market is still in a far better position than the mainstream stock market, which will be quite evident if we compare the trading volumes of Apple and Bitcoin.
As Bitcoin matured, the digital asset has evolved into becoming a potential alternative for traditional investment assets like stocks, real estate, and gold. Currently, the significant volatility for both equities and cryptocurrencies has spooked investors, who are fleeing the investment market. But even after facing major adversities, Bitcoin has recorded a trading volume at least double the size of Apple’s within the last 30 days, ranging around the US$27 billion range. Meanwhile, Apple’s daily trading volume has declined to approximately US$11 billion, based on the reports for the last 30 days. This clearly indicates that Bitcoin has recorded a trading volume that is at least 2.3 times more than what Apple has experienced in this bearish market.
Why is Apple’s Trading Volume Declining?
In May 2022, the Apple stock went down 8% within a week, wiping out hundreds of billions in value. Apple fell when a bad week initiated for the crypto and equity markets, which happened due to stock sell-offs in nearly every industry and also due to the aggressive initiatives taken by the Fed to reduce the impact of inflation and other economic downturns. These factors were followed by weakening consumer confidence, rising inflation, and global supply chain challenges.
Experts have denoted that Apple is currently facing major supply chain challenges, but its business outlook has not changed yet. Earlier, market trend analysts noted that Apple has often attracted investors who sought lower-risk bets on technology stocks. But currently, the company’s stocks have become some of the most volatile investment assets in the mainstream stock market. Apple executives have enunciated the effects of macroeconomic conditions and inflation on its business, but they have also asserted that the company is facing bigger problems and does not have enough resources to build iPhones and Macs to meet the global demand.
Bottom Line
Quite notably, Bitcoin has managed to maintain an impressive volume compared to Apple, despite the fact that the cryptocurrency is undergoing a significant sell-off in recent months. There are several factors that have led to the massive fallout in digital assets. In May 2022, Terra’s stablecoin, UST de-pegged from its US$1 value and triggered investors to flee the market, taking down the entire LUNA ecosystem. But finally, the crypto market is recovering and, in turn, is giving new hopes to the investment community. But it seems like the mainstream economic and financial markets will take some time to recover since inflation and other degenerating economic factors are about to stay for a while.
