A new research conducted by SFOX came up with an interesting thing about the relationship between holidays and the surge of Bitcoin price. This research is based on a striking theory FOMO (fear of missing out).Families and friends assemble at one place on selected days such as holidays where they chatter about worldly things and other financial matters of life.
Correlation between holidays and Price of Bitcoin:
The data of price value of Bitcoin clearly shows that Bitcoin’s value increased with big holidays.
This chart conveys us very useful information that trend is fueling up when there is a holiday. The historical data gathered from Thanksgiving, Christmas and New Year’s Eve to get the desired results.
“Part of the narrative surrounding this unprecedented bull run [in late 2017] was that many people were hearing about Bitcoin for the first time: over Thanksgiving dinner, the story goes, Luddites in the family would ask the more tech-savvy among them about this ‘Bitcoin’ they’d seen in mainstream news — and how could they purchase some ‘Bitcoin coins’ for themselves?”
Trend in 2017:
In the end of 2017, during the time period of Thanksgiving holidays, the price of Bitcoin surged from $6,030 to $19,205 USD and same trend continued after these holidays.
Search Volume of Bitcoin in 2019 during Lunar New Year’s Eve:
During the holidays of Lunar’s festival at the end of 2019, people usage of search engine about Bitcoin is doubled than normal behavior. The capital increase of coin is also aid by search volume for coin in google.
In this time range, price speed up from $3,419 USD to $3,908 USD and total boost up is 14%.The peak value recorded was $4,000.
Following tweet explained this theory:
I will only call the top when my mom’s friends ask me to buy bitcoin for them for the first time.
Last time this happened is at 100K RMB (~$14285), and many of them either cut loss at $4000 or still hold on to it pic.twitter.com/ECsFm20zSg
— Dovey Wan 🗝 🦖 (@DoveyWan) June 26, 2019
FOMO theory is implemented in these during holidays, when folk discussed their financial affairs with one another. The research note quoted in this sense:
“Bitcoin, they’d seen in mainstream news — and how could they purchase some “Bitcoin coins” for themselves?”
Chart source sfox.com
Feature image shutterstock
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