Google searches on the word “Bitcoin” are in free fall since a few weeks. However, there is also a collapse of the virtual currency. Is this a link ? It explains to you !
A volume of research in free-fall
In the month of December 2017, the number of searches on Google involving the word “Bitcoin” has made an incredible leap forward. It must be said that Bitcoin has reached a record value of around $ 20,000, which has created a craze without precedent for crypto-currencies. But, since the month of January, the current collapse.
Pixabay – 377053 / The volume of searches for the word Bitcoin on Google collapsed.
The crypto-currencies are of interest, therefore, less investors, and searches on Google for this word has decreased sharply. The word “Bitcoin” has been typed in five times less on the search engine that in the month of December ! But is there a correlation between the search volume and the price of Bitcoin ? Some seem to think the answer is yes.
A correlation is not so evident
Nick Colas, the co-founder of the society of financial analysis DataTrek Research, is out of the silence and spoke out on CNBC. He felt that there was a link between Google searches for the word “Bitcoin” and the volume of exchange of the crypto-currency : “Until now, Google has been an indicator that is very reliable. He showed us the signs of progress – and we then showed signs of a fall. “
Pixabay – The DigitalArtist / According to some experts, there would be a link between the volume of searches on Google and the price of the Bitcoin.
It must be admitted that the volume of searches made on Google can translate the enthusiasm of investors for the crypto-currencies. In fact, this research proves that investors are interested in the virtual currency and want to find information, in order to invest. If there are less people to find information related to Bitcoin, then less people will invest. There is definitely a link between the volume of searches on Google and the price of the digital currency.
However, caution is required. It is not necessary to think that interest in Bitcoin was non-existent, quite the contrary. One imagines, therefore, that when the volume of searches will increase again on Google, the course will also better… To follow !
Source : CNBC