Robinhood opens up crypto trading
Since the recent announcement that the popular market trading app would include cryptocurrency trades, over 4 million more users signed up for the service.
The tech start-up grew in popularity as a free stock trading app.
The Palo Alto, California, company announced last month that it was to include digital assets trading on their app.
This news saw their user base soar.
Trading for BTC and ETH is available on the app for users in California, Massachusetts, Missouri, Montana and New Hampshire.
Robinhood aims to offer the service in most other U.S. states by the summer.
A popular addition
In April 2017, Robinhood had a total of 2 million registered users.
This figure had risen to 3 million by November but skyrocketed after revealing it would offer cryptocurrency trading.
Give Coinbase a run for their money
There’s no denying that Robinhood will go into direct competition with leading financial technology startup and much-loved digital currency exchange, Coinbase.
Coinbase’s user-friendly interface and easy buying and selling options make it the first choice for newcomers.
Robinhood’s app will undoubtedly target a very similar demographic.
It’s unclear how many of Robinhood’s new signups have moved from Coinbase or will use both accounts, however.
Over half of Bitcoin holders are between the ages of 18 and 34, according to a recent study.
The average age of Robinhood’s customers is 30.
Although Robinhood has seen a flurry of new signups that takes its number to around 7 million users, as of late last year, Coinbase had 13 million registered users.
Buy the dip
Newcomers to the crypto market who will buy Bitcoin and Ethereum through the trading app today will take advantage of values priced at half of the highs of December.
After nearly touching $20,000 in December, the Bitcoin price is currently at around $10,000.
On February 6th is hits lows of $6000 before the price rallied back up over the last couple of weeks.
Should prices continue to rise back up to recent highs and beyond, new crypto investors could find buying the dip very lucrative indeed.