Bitcoin sees decreased volatility despite its recent decline. According to its past performance, the asset starts to stabilize. The previous coin’s peak in 2019 experienced an 84% plunge, while the current one recorded 55%.
It took Bitcoin three years to visit its 2017 ATH. For now, analysts anticipate that the crypto will revisit its present record high quicker as BTC recorded magnified long-term pressure.
With the 55% downbeat, market players might wonder how cryptocurrency apps are performing after Q2 plummets now that the two giants, Robinhood and Coinbase, went public.
According to data by Apptopia and Bloomberg, some crypto apps underperformed, while others remain low even YOY. Robinhood deals with stocks as well, and we think any Q3 plunge will relate to crypto trading.
Two Crypto Apps Go Public in Q2
It is worth analyzing how the market’s ugly performance might have affected cryptocurrency trading apps. When BTC and altcoins see a rally, they correlate with the cryptocurrency apps. However, what is the intensity?
Robinhood and Coinbase took advantage of the crypto surge to publicize their services as the firms recorded 1080% and more than 309% revenue growth, respectively. Meanwhile, sessions and downloads recorded intensified activity as the two firms went public.
Coinbase achieved direct listing on 14 April at $381. The shares saw money-making moves at the listing day before selling drastically one month later. Lock-up periods remained standard for IPOs. Nevertheless, Direct Listings never have lock-ups.
There might be exceptions, such as Palantir, that had lock-up limitations regardless of direct listing. Coinbase, with its listing, didn’t have any lock-up agreements. Robinhood underwent listing on 29 July at $38. The shared attained an ATH around $70.39, currently trading over the IPO at $47.15.
Crypto Apps Financial Overview
Coinbase had its 2020 revenue standing at $1.3 billion, a 143.6% growth from $533.7 million the previous year, 2019. Meanwhile, Q2 revenues rose at $2.2 billion, translating to 1080% from $186 million.
Coinbase declared having 160,000 network partners and more than 9,000 institutional clients. Institutions have driven trading volume at $317 billion than $145 billion by retailers.
Conclusion
We do not expect cryptocurrency trading apps to perform with high traffic as the market tries to price the apps without frontward guidance, suggesting incoming volatility.
