Declining cryptocurrency prices have all kinds of side effects. For the Coinbase mobile app, the dip in popularity is very real. This doesn’t necessarily mean Bitcoin trading is losing traction among mainstream consumers.
Coinbase App Is Less Desirable
Lower cryptocurrency prices usually spark a renewed interest in Bitcoin. This current price point lets consumers invest at a more affordable level. At the same time, there seems little optimism regarding a price recovery later this year. The world’s leading cryptocurrency struggles to find stable ground these days. A worrisome trend for many different reasons.
A bear market for Bitcoin seems to affect Coinbase. One of the world’s most popular Bitcoin trading platforms loses traction in the mobile app department. Its native app has been downloaded less frequently in the US. So much so that it reached an all-time low since April of 2017. Such dips are to be expected after periods of constant growth.
One also has to keep in mind Coinbase has millions of customers. Those users install the application once per device in their lifetime. Unless new users keep signing up, the demand for the mobile app will dwindle. That is not an issue native to cryptocurrency. Every mobile app has its ups and downs in this day and age. It should be pointed out that the number of users remains steady even as the app dips in download popularity.
Turning the Ship Around
It may take a while until the Coinbase app regains its popularity. A rising Bitcoin price will facilitate this process. When that will happen remains unclear at this stage. The mobile app is only one way of accessing this popular exchange these days. Using the website works on computers and mobile alike.
There is also the new Coinbase Custody service that targets institutional investors, which is separate from the traditional mobile application. The exchange acknowledges growth and innovation are valuable traits, especially in the cryptocurrency world. While consumers show less demand for the app, the company is seemingly not missing out on revenue.
Short-term effects are ever present in the Bitcoin industry. Price discussions are always focusing on short-term changes first and foremost. This Coinbase app “debacle” may become another blip on the radar six months from now. It may also be a sign of things to come in the future. Nothing is ever set in stone in the cryptocurrency industry.
What do you think about the Coinbase app dropping in the download ranks? Let us know in the comments below.
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