Despite the price of bitcoin more than tripling since the start of the year, cryptocurrency applications have seen almost zero growth.
Crypto App Downloads Flattening
According to data collected by app tracker App Annie and reported by Bloomberg, consumer downloads for cryptocurrency-related applications are no higher than they were in the first half of 2018.
Prices were plummeting in the early months of last year, down from their all-time high at the start of January, leading many to call 2018 a ‘crypto winter.’ However, the rising valuation for bitcoin and other cryptoassets has seemingly had no impact on consumer interest in cryptocurrency applications, despite the bullish sentiment.
App Annie pulled data from the Apple Store and Google Play downloads, giving a broad snapshot of global mobile user trends. While they found more than 6,500 cryptocurrency-related applications, the number of downloads flattened over the last year.
Crypto app downloads have stalled in 2019. | Source: Bloomberg
According to the report, 67 million crypto apps were downloaded through the first six months of 2019, compared to 65.8 million during the same time frame last year. However, total number of cryptocurrency applications increased 35 percent from January 2018, giving an indication of new growth even if consumer downloads stalled.
Bitcoin’s Rally Potentially Not Driven by Adoption
App downloads and consumer engagement have previously tracked the price of bitcoin. While the most recent price rally has had little effect on app marketplaces, App Annie reported cryptocurrency prices mirroring the rise of crypto management apps during the last great rally in 2017.
According to their annual report published last year,
Cryptocurrency dominated headlines throughout 2017 as busts and booms set off wave of interest, and so fittingly cryptocurrency management apps have seen a significant boost in the face of growing market excitement.
Crypto app downloads mirrored bitcoin's price during 2017's rally | Source App Annie
While the low hanging fruit for cryptocurrency applications was largely collected prior to the most recent rally, consumer downloads should have increased in the event of widening adoption. Particularly in countries where smartphone usage is the primary means for accessing the internet.
Bloomberg speculates that App Annie’s data is another indication the price rally for the cryptocurrency is being driven by factors other than adoption and consumer enthusiasm. The publication also points out that Google search volumes for ‘bitcoin’ have been five times lower during the current price rally than in December 2017.