According to the University of New South Wales, sell-off in Bitcoin saw the currency’s value fall to USD$17,592.78 in mid-June, marking the first time since December 2020 that it had fallen below USD$20,000. Similarly, Ethereum dipped a whopping 70 per cent from its all-time high in November last year, prompting the world’s largest cryptocurrency exchange, Coinbase, to sack a staggering 18 per cent of its staff. Naturally, the downward spiral has economic investors in a panic, but for those with a penchant for more tangible assets, the cryptocurrency collapse represents a rare opportunity to buy in. A new report from Bloomberg has revealed that the collapse in crypto has significantly eased supply of the world’s most sought-after watches, meaning for the first time in a long time, collectors can get their hands on a new Rolex or Patek Philippe.
Rolex and Patek Philippe watches
According to the report, the recent uncertainty surrounding cryptocurrency has seen more owners unload their high-end timepieces, with supplies for the Rolex Daytona and Patek Philippe Nautilus 5711A now “much larger”. In a statement provided to the publication, online watch trading platform Chrono24 revealed that dwindling crypto values have “directly impacted pricing of luxury watches from brands like Rolex and Patek Philippe”.
It seems the penny may finally have dropped, but not for the reason avid watch fans were expecting. The Bloomberg report suggests that the continued hammering of certain cryptocurrencies has forced the once investment-friendly buyers into reverse, selling off their assets at an alarming rate. Chrono24 co-CEO Time Stracke told the publication that the recent global impacts have seen prices for the most sought-after timepieces fall loser in line with similar watches. At the same time, the watch retailer revealed that training volumes on the platform have jumped more than 50 per cent in the first half of 2022.
Most notably, collector’s pieces that offer a degree of status have seen enormous changes. Just last year, a rare 1957 Omega Speedmaster sold for $4.6 million, shattering records while a similarly incredible Philippe Dufour piece went for $10 million, making it the most expensive independent watch ever sold. Taking a quick look on Chrono24, however, there’s a noticeable increase in available models that were once thought of as hard-to-get. In a stark contrast to last year’s scarcity-induced price surge, some Rolex Submariners are going for as little as USD$10,000, suggesting that the market may finally be correcting itself.
While the latest news may be a knock for crypto fans, the tide is rising for watch lovers. Increased availability would certainly drive prices down and remove the barrier to entry for the luxury watch game, making it slightly easier to secure that grail piece.