Crypto firms failed to attract new retail investors in their Super Bowl ad campaign.
It was the first time that crypto companies have aired ads during the biggest sporting event on American television. Although it was hailed as a landmark moment for the industry at the time, two months later it is now being called a dud.
According to experts, macroeconomic circumstances played a role. Specifically, the persistent narrative that cryptocurrency is risky remains the mainstream consensus.
The “Crypto Bowl” misses the mark
Viewership numbers for Super Bowl 2022 are up 16% from last year, averaging 112 million across all platforms. This makes Super Bowl LVI the most-watched program in the previous two years.
Due to its high viewership and broad demographic reach, Super Bowl advertising has become a cultural phenomenon in itself. Marketers see it as an opportunity to produce cinematic-quality masterpieces to achieve their marketing goals. So much so that it’s notoriously expensive to run a Super Bowl commercial. A 30-second slot in 2022 costs over $6.5 million.
Crypto companies saw the 2022 Super Bowl as an opportunity to drive adoption and spread brand awareness. Companies have made every effort to stand out from their competitors. But above all, to send the message that crypto is ready to be accepted and recognized by the general public.
This included a slew of celebrity endorsements, such as LeBron James for Crypto.com. And the now infamous bouncing Coinbase QR code, which divided opinion on artistic merit, but was still enough to crash servers due to the large number of people trying to claim the free Bitcoin on offer.
However, now that the dust has settled, experts say the “Crypto Bowl” hasn’t had the desired impact.
Now is not the time to make risky investments
Regarding trading volume, Noelle Acheson, head of market intelligence at Genesis Trading, said the “Crypto Bowl” campaign did not bring “a massive influx” of investors as hoped. This he attributes to “market uncertainty”.
“We haven’t seen a massive influx of retail investors into crypto after the Super Bowl publicity.
Volumes are low due to enormous uncertainty in the markets.
As the Russian-Ukrainian war picks up where the health crisis left off, people remain concerned about how things are going. Not to mention the threat of soaring inflation and the associated cost of living crisis that is spreading across the globe.
Head of Cryptocurrency at Cumberland Trading Company Chris Zuehlke spoke about the interaction between two opposing groups – those who view Bitcoin as risky and those who view it as risky. Zuehlke added that the price range/relative flat trade seen lately is a result of the risk side having the upper hand.
“That push and pull between those two camps, I think, is what’s defined that range that we’ve been sitting in for the last two months.”
In all likelihood, strong retailer sentiment would tip the scales in favor of the adventurer camp. The fact that trading remains relatively stable would support Acheson’s view that uncertainty remains the dominant sentiment among investors.