With excess money and stimulus time on their hands, people’s attention has fallen on commission-free trading platforms, leading to an exuberant rise in prices this year.
Now, with vaccines being opened, the last stimulus checks being expended and warm weather returning, attention is returning to socialization and travel.
Memes Fall Flat: So goes the explanation why prices in meme stocks have been flat since the frenzy hit fever at the end of January, according to Bloomberg.
Searches for “Google flights” reached their popularity score of 100 (the highest possible for a given time period) in the past week, while searches for phrases such as “share trading” “and” investment “declined, Bloomberg said, citing Google Data on trends.
“The impact of stimulus control on retail is declining,” Bloomberg quoted Edward Moya, a senior market analyst in Oanda, as saying. “Many Americans are looking to go big when attending sports events, traveling around the country, vacationing, visiting family and friends, and renewing wardrobes before going out to restaurants, pubs and returning to the office.”
Retailers accounted for nearly 25% of business activity last year, up from an average of about 10% during the decade before the pandemic, Benzinga noted two weeks ago, quoting Goldman Sachs.
NFT Plunge Prices: Meanwhile, interest in another source of exuberance, non-fungible tokens, also seems to be declining, just weeks after the $ 69.3 million Beeple art sale brought digital innovation to the world’s attention .
What is NFT? Read Benzinga’s primer on what they are, how they work and where to buy them.
Average prices for NFTs peaked in February at about $ 1,400 but have dropped nearly 70% since then, according to Bloomberg, using data from NFT market tracker Nonfungible.com.
Bitcoin.com has noted a decline in interest in NTFs. The site said search terms for NFTs have been falling from mid-March highs on Google in the U.S. and worldwide, though the numbers are still high, mostly in the 1990s.
Bitcoin quoted an author who wrote on NFTs as saying that the market suffers from oversupply as more people realize how easy it is to create NFTs.
See also: 6 NFT Twitter Accounts To Follow For Non-Fungal Growth
NFTs are unlikely to go away, as they represent a new innovation with promising uses to prove ownership and track ownership history, as well as to people’s online identities.
But the fall in prices suggests that the recent boom was a temporary run of excitement for a concept that is still taking shape.
After a while, meme stocks and early 2021 NFTs may appear in retrospect to have been nothing but the odds of a feverish pandemic.
Photo by Markus Spiske on Unsplash.
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