If you subject search queries for the term Bitcoin to a Google Trends analysis, you should realize that interest in the mother of all cryptocurrencies has hit a yearly low. Also globally, search interest seems to be waning a bit.
The German search volume for Bitcoin is currently only 23 percent from the high of May last year. What could be the reason?
“The regulation issue and the negative tenor in the German media are not beneficial,” says Stefan Lübeck, market expert at BTC-ECHO.
The last few weeks have been very tense in the crypto space. A de facto ban on Bitcoin at the EU level was averted at the last second. Just a few days ago, we also received the news that the so-called non-hosted wallets could soon disappear.
Importance of Bitcoin Google Trend Analysis
However, it is also important to look at the methodology behind the Google Trends data. The company behind the popular search engine does not publish absolute numbers, but only the ratio of certain search terms to the total number of search queries.
The peak of this ratio in any given period is 100. For example, if a search term reaches a value of 50, this means that it was only searched for half as often in the respective week compared to the wedding.
“We consider this interest as a proportion of all searches on all topics on Google at this time and place,” explained Simon Rogers, a data journalist and publisher at Google, in a blog post.
In this case, this means that the number of search queries in Germany containing the term “Bitcoin” has decreased relative to the total number of search queries in the Federal Republic.
On the one hand, this proportion may decrease if the absolute searches for the term bitcoin have actually decreased. Yet another possibility is that other problems are overshadowing Bitcoin right now. This could be the case, above all, due to the current war situation between Ukraine and Russia or the Corona situation.
This means that the Google Trends data does not necessarily mean that interest is declining. A similar development is currently taking place in the NFT sector as well, reported BTC-ECHO.
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