Analyst: Higher cryptocurrencies may lead to higher prices for second-hand luxury brand watches
Analysts believe that the recent frequent record highs of Bitcoin are likely to boost the value of second-hand luxury watches. The rise of Bitcoin undoubtedly increases wealth and has sparked widespread interest in alternative assets such as non-fungible tokens or watches. However, it is currently unclear whether this will cause watch prices to rise again, as seen three years ago. The situation three years ago was unique, as consumers redirected funds originally intended for dining out and vacationing towards luxury goods due to home isolation. In addition, speculation on luxury goods was further intensified by stimulus measures and low interest rates. Moreover, it is currently difficult to determine how much additional supply there is in the second-hand market, which is another key factor affecting the price of second-hand watches. Jefferies analysts have previously stated that the increase in Bitcoin in 2021 may account for one-quarter of the growth in US luxury goods sales.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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