Why Retail Traders in Crypto Haven’t Returned to 2021 Levels | by Muhamad Yusup / Cupi Crypto | The Capital | Feb, 2025
The cryptocurrency market has undergone significant changes since its peak in 2021. While some analysts predict that the market has already reached new highs, data suggests that the Bitcoin cycle still has the potential to grow until the end of 2025. However, one notable observation is the lower participation of retail traders compared to 2021 levels. So, what’s causing this phenomenon? This article will delve into the main reasons why retail participation in the crypto world remains subdued compared to previous cycles.
One of the key factors that fueled the massive surge in retail trader participation in 2021 was the COVID-19 pandemic. As the world faced lockdowns and social restrictions, many people found themselves with significant free time. They began exploring new ways to fill their time, one of which was trading.
What Happened During That Time?
- Trading Volumes Surged: Not only did the crypto market experience a spike in trading volumes, but so did the…
