The year 2023 began with a sense of renewed optimism for the crypto market. However, Bitcoin ATMs, once hailed as a symbol of the cryptocurrency revolution, have experienced a significant decline. Data from AltIndex reveals a staggering loss of nearly 7,000 Bitcoin ATMs since the beginning of the year, marking the largest decline in the history of the crypto market.
A rollercoaster year for crypto coins:
Despite a bumpy start to 2023, cryptocurrencies have rebounded after a tumultuous period. However, their journey has been far from smooth and prices remain well below their all-time highs. The market's inherent volatility, coupled with concerns about potential illicit activity, has put an unprecedented strain on Bitcoin ATMs, pushing their numbers back to levels last seen in 2021.
The Steep Descent:
After hitting an all-time high of more than 39,100 in December 2022, the number of Bitcoin ATMs has been in a steady decline for the past ten months. The first signs of trouble appeared in January when more than 1,500 ATMs supporting digital coins were removed. In March, the decline deepened, with nearly 3,600 Bitcoin ATMs disappearing within a month.
May and June brought a slight reprieve, as more than 2,300 new machines joined the global Bitcoin ATM network. However, July delivered the harshest blow in 2023. Statistics show that over 4,000 Bitcoin ATMs disappeared in that month alone, an all-time high. Since then, around 500 new Bitcoin ATMs have been introduced to the market, but the total number has plateaued at around 32,500, mirroring the numbers from December 2021.
America takes the brunt:
The United States is home to the largest number of crypto ATMs, but it was hit the hardest by the 2023 exodus. According to data from CoinATMRadar, the country had more than 26,700 crypto ATMs last week, a steep decline from the 34,200 in December 2022.
Despite the decline, the United States maintains a significant lead, with eighteen times more Bitcoin ATMs than Europe, where the number remained at around 1,500. In Asia, the number of ATMs supporting cryptocurrencies is significantly lower, with less than 350 machines in total.
In terms of manufacturers, General Bytes continues to dominate the Bitcoin ATM landscape with a 32.6% market share in October. Genesis Coin secures the second largest position with 22% market share, while BitAccess and Bitstop follow with 21.3% and 8.3% market share, respectively.
The decline in Bitcoin ATMs throughout 2023 signifies a changing landscape for cryptocurrencies and their accessibility. While the market remains resilient, the reduced number of Bitcoin ATMs highlights evolving trends and challenges that must be addressed in the crypto world.
Source: AltIndex.
