Amidst the emerging cryptocurrency market, investors have found another wealth diversification space. Conversely, only few people like whales and pro traders are making profit in Bitcoin buying and other retail investors are probably losing their money as per the BIS report.
As per the data report from the Bank of International Settlement (BIS), after 2015 retail investors and traders have probably lost their money in bitcoin buying so far.
The report from BIS displays how cryptocurrency trading increased when regular traders purchased and whales dumped bitcoin after the failures of Terra/Luna and FTX in 2022.
Bank of International Settlement (BIS) stated that, “These patterns highlight the need for better investor protection in the crypto space”. Thus, this statement emphasises the retail investors’ protection to reduce losses.
This report claims that “sophisticated investors” have grown their profits in the last seven years and retail traders and investors drained money.
The decline in Bitcoin price from it’s all-time high ditch most crypto app users across the world. As per the analysis, $450 billion disappeared from the cryptocurrency market when Terra and LUNA failed in May 2022, and later another $200 billion was lost after FTX went bankrupt in November 2022. Both major crises kicked out the investors from the market.
At the time of writing, Bitcoin price trades closer to $24,600, down around 64% from it’s all-time high of $68,789. And, the overall crypto market cap stands over the $1.1 Trillion.
