Risk to prices – “Maybe we weren’t pessimistic enough”

Dusseldorf If you want to get a feel for how low sentiment in the crypto market has fallen, you only have to look back seven months. Major cryptocurrency Bitcoin was trading at $64,000 when crypto exchange Crypto.com announced on Nov. 16 that it had acquired the naming rights to the Staples Center — home of US basketball team Los Angeles Lakers.

According to media reports, the company paid $700 million for the 20-year deal. A record.

Seven months later, bitcoin has plummeted to $22,000 and Crypto.com laid off 5 percent of its workforce this week, compared to 10 percent at competitor Coinbase.

The crypto exchanges adapt to the new market events: the gold rush mood is over. According to the data provider Coingecko, the daily trading volume on Crypto.com has fallen from almost four billion dollars to 700 million since mid-November.