The past six to seven months have been extremely interesting for most cryptocurrencies. With massive gains in late 2017 and steep losses throughout early 2018, making sense of these markets has not always been easy. Plus500, a well-respected online trading platform, is confident the cryptocurrency boom is “over”. It’s an interesting statement, considering that they added support for EOS trading just a few hours later.
The Conflicting Opinions of Plus500
A lot of cryptocurrency users were surprised when Plus500 enabled support for Bitcoin price speculation a while ago. That move made a lot of sense, as the growing interest in cryptocurrency was beginning to materialize around that time. Companies are always looking to get a firm grip on the market and be part of emerging trends. The interest in cryptocurrencies certainly hasn’t waned in this regard, even though Plus500 seems to have a slightly different opinion on the matter as of right now.
In a recent statement, a company spokesperson made it clear Plus500 is convinced the huge cryptocurrency boom is pretty much over. Instead, we are now dealing with “normal” market conditions. It is always a bit strange to see people mention normal market conditions and cryptocurrencies in the same sentence, as the two are mutually exclusive. Even so, there may be some truth to what Plus500 is trying to convey to the masses.
Given the Bitcoin price action over the past seven months, it would appear as if most speculators and investors have cooled on this industry. Although there is still an overall bull trend in place, the trading frenzy of late 2017 appears to be well behind us. Plus500 provides customers with ways to buy and sell specific currencies through native contracts. It appears these CFDs have generated a lot of revenue for the firm, and created a huge increase in the number of active users.
Even so, the crypto craze has calmed significantly from Q1 of this year. Plus500 noted far less volatility, trading activity, and overall user interest. It is still too early to tell if this means the rest of 2018 will be a proverbial snooze fest as well. Based on the history of all cryptocurrencies, such an outcome remains highly improbable. This is only the beginning of a lengthy recovery process toward a new all-time high, either later this year or during early 2019.
— Plus500 (@Plus500) April 26, 2018
In a surprising turn of events, Plus500 enabled support for one additional cryptocurrency hours after this odd statement. As of right now, users are able to trade EOS through CFDs. Given the hype surrounding EOS – despite the lack of a working real-world product – it is only normal that this trading platform wants to get in on the action in one way or another. Whether or not this decision will pay off remains to be seen. The current EOS price shows that hype, speculation, and FOMO are still as present in this industry as ever before.