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Crypto exchange Coinbase, which reported a 27 per cent fall in first-quarter revenue, has now extended its hiring freeze “for the foreseeable future”. Fintech companies Big crypto companies like Coinbase, Gemini, Bitso and more are battening down the hatches. Will they emerge from it leaner and stronger? Crypto exchange Gemini on June 2 announced a 10 percent slash in its workforce, while the world's largest crypto exchange Coinbase the next day announced a Several converging signals may be pointing to the start of a new crypto winter, according to Coinbase Institutional, amid extreme negative sentiment following In its April Monthly Outlook report, the crypto exchange warned that market signals are increasingly pointing to what many in the industry call a “crypto winter,” a A Cold Front Moves In. The signs are familiar: prices drop, venture funding dries up, sentiment turns jittery. For veterans of the crypto space, it’s starting to feel like winter Crypto markets are flashing early signs of a new downturn, as declining venture capital, macroeconomic headwinds, and bearish technicals suggest another crypto In a 2 June blog post, the co-founders of Gemini, Cameron and Tyler Winklevoss, announced that the crypto exchange Warnings of an imminent bear market hit the cryptocurrency markets. Crypto analysts told investors to prepare for an extremely cold 'crypto winter' following Terra Luna collapse. Are the

It\'s a Cold Crypto Winter for Gemini and Coinbase: Why?

The cryptocurrency market is experiencing a significant downturn, leading to what many are calling a "crypto winter." This cold front is hitting major players like Gemini and Coinbase particularly hard. The signs are familiar: prices drop, venture funding dries up, and sentiment turns jittery. For veterans of the crypto space, it’s starting to feel like winter again.

What\'s Causing the Crypto Winter?

Several converging signals are pointing to the start of this new crypto winter. These factors include:

  • Declining Venture Capital: Crypto markets are flashing early signs of a new downturn, and the decrease in venture capital investment is a key indicator.
  • Macroeconomic Headwinds: Broader economic uncertainties and inflationary pressures are impacting investor confidence and risk appetite.
  • Bearish Technicals: Technical analysis suggests a downward trend in crypto prices, further fueling negative sentiment.
  • The Terra Luna Collapse: Warnings of an imminent bear market hit the cryptocurrency markets hard following the Terra Luna collapse. Crypto analysts told investors to prepare for an extremely cold \'crypto winter\'. Are the concerns valid?

Impact on Gemini and Coinbase

Big crypto companies like Coinbase, Gemini, Bitso and more are battening down the hatches. The crypto winter is forcing these companies to make difficult decisions:

  • Layoffs: Crypto exchange Gemini on June 2 announced a 10 percent slash in its workforce, signaling the severity of the situation.
  • Hiring Freezes: Crypto exchange Coinbase, which reported a 27 per cent fall in first-quarter revenue, has now extended its hiring freeze “for the foreseeable future”.

According to Coinbase Institutional, extreme negative sentiment is further exacerbating the situation. In its April Monthly Outlook report, the crypto exchange warned that market signals are increasingly pointing to a "crypto winter."

Will They Survive?

Fintech companies are facing a challenging period. Will big players emerge from it leaner and stronger? That remains to be seen, but their ability to adapt and navigate this crypto winter will be crucial for their long-term survival and success.

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