Recently, all eyes in the crypto industry have been focused on the social platform Reddit, where its communities significantly influence the prices of crypto assets. It has been reported that on January 30, the number of subscribers in the r/Bitcoin community surged dramatically, adding 100,000 users in just one day.
According to the analytics service Metrics For Reddit, over the last seven days, the aforementioned subreddit has attracted more than 200,000 new members. As of February 1, the number of subscribers to the Bitcoin community on the platform exceeds 2.2 million.
Other crypto-oriented communities on the platform are also thriving: r/Ethereum welcomed 40,000 new participants, while r/Ethtrader added 400,000.
Users on the platform have shown increased interest in cryptocurrencies amidst a successful investment campaign in GameStop's stocks. This phase of retail investors has been marked by a "war" waged by the r/WallStreetBets community against the titans of Wall Street.
The WallStreetBets community was formed to declare a digital war on financial investor Melvin Capital, hedge fund Citadel, and trading app Robinhood. Their weapon of choice has been the stocks of companies that have plummeted due to the pandemic crisis, such as GameStop, AMC, Nokia, and BlackBerry. It is important to note that these brands hold significant nostalgic value for those who grew up in the 1980s and 1990s (i.e., millennials).
Financial giants on Wall Street have bet on further declines of these stocks to turn a profit. Millennials from Reddit witnessed the financial crisis of 2008/2009 and are now experiencing once again how corporations attempt to benefit from another recession. Hedge funds are losing millions as they short these stocks, but their prices are rising due to investments from millennials.
The community's attention to cryptocurrencies and the growth in subscribers of the Bitcoin subreddit may indicate an imminent rally in the cryptocurrency market.
