The recent troubles in the crypto space have reportedly led to an increased supply of pre-owned luxury watches, according to a leading trading platform. As a result, prices of sought-after models from major brands such as Rolex and Patek have fallen, the company revealed.
Higher post-crypto-crash bids are hurting resale prices for top-of-the-line watches from Swiss brands like Rolex
The recent decline in the valuation of crypto-assets has directly affected the pricing of luxury watches from Rolex, Patek Philippe and the like, a German online platform that lists hundreds of thousands of timepieces has noticed.
The offer of trophy watches, such as the Rolex Daytona or the Patek Nautilus 571[ads1]1A, “is now much larger,” Karlsruhe-based Chrono24 said in a statement, cited by Bloomberg. The crypto collapse facilitates access to the most desired models on the used market, it elaborated.
The report notes that the declining prices of the most sought-after watches are an indication that the market for used luxury watches is beginning to lose momentum. It is after rising cryptocurrencies before it had led to the birth of a new class of luxury buyers and unprecedented increase in the prices of models from the best brands.
These consumers are now withdrawing and the prices of the most sought-after watches are falling more in line with other, similar products. The trend represents a consolidation of the market, said Chrono24 Co-CEO Tim Stracke.
Meanwhile, trade volumes on the site, where dealers and private sellers find buyers, have increased by more than 50% during the first half of 2022, the executive revealed. And while a Patek Philippe Nautilus 5711A now sells for $190,000, down from $240,000 in the first quarter, prices on many models from Cartier and Breitling have risen.
The German company also pointed to an increase in demand for almost all models from Omega’s Speedmaster collection, offered as a product of the collaboration with Swatch. Chrono24 also expects total sales on the platform to increase in the second half of the year.
Cryptocurrencies and luxury watches already have a history together. In May, Swiss watchmaker TAG Heuer said it was introducing online crypto payments to its US customers through an integration with Bitpay. This month, another Swiss luxury watchmaker, Franck Muller, announced the launch of an exclusive Binance NFT collection of limited edition movements.
Do you expect the resale prices of top models from luxury watch brands to rise again with rising crypto values? Tell us in the comments section below.
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