The collapse of cryptocurrencies is helping to ease the supply of most desired watches on the second-hand marketplace, which in turn will depress prices for hard-to-get Rolex and Patek Philippe models.
Online-watch trading platform Chono24 stated in an email that the supply of trophy watches like the Rolex Daytona and Patek Nautilus (5711A) “is now much larger.”
According to the company, which is based in Karlsruhe, Germany and lists over half a billion watches for sale on its website, the recent slump in cryptocurrency valuations has “directly impacted pricing of luxury watch brands such as Rolex or Patek Philippe.”
The most recent indication that the once-soaring second-hand luxury watches market is beginning to slow down is the price drop for the most desired models. The rising valuations of cryptocurrencies have created a new class of luxury buyers. This has led to an unprecedented price rise for models from brands such as Patek, Audemars Piguet, and Rolex. These consumers are now going in the opposite direction after many digital tokens were destroyed.
Tim Stracke, Co-CEO of Chrono24, stated that the pullback in some models is a consolidation because the prices for the most desired timepieces are closer to comparable watches.
Stracke also stated that trading volumes on the platform which connects private sellers and dealers with buyers have increased by more than 50% during the first half.
According to Chrono24, the retail price for a Patek Philippe Nautilus 5611A rose to $240,000 during the first quarter. It is currently selling at $35,000 but has risen to $240,000 by quarter end. The blue-dialled, steel sports watch now fetches $190,000.
Chrono24 has reported price increases for watches such as the Girard Perregaux Laureato and many Cartier-Breitling models. A collaboration between sister brand Swatch and Chrono24 has seen demand for almost all models in the Omega Speedmaster line rise, Chrono24 reported.
Chrono24 was considering an IPO and said that it anticipates a further rise in total sales on the site during the second half.
If anyone reads this article found it useful, helpful? Then please subscribe www.share-talk.com or follow SHARE TALK on our Twitter page for future updates.
Terms of Website Use
All information is provided on an as-is basis. Where we allow Bloggers to publish articles on our platform please note these are not our opinions or views and we have no affiliation with the companies mentioned