Top Watches from Swiss Brands Like Rolex’s Resale Prices Are Hurt by Higher Supply Following the Crypto Crash
A German online platform that sells hundreds of thousands of watches has observed that the recent decrease in the prices of crypto assets has had a direct influence on the pricing of luxury watches from Rolex, Patek Philippe, and similar brands.
The supply of prized timepieces, including the Rolex Daytona or the Patek Nautilus 5711A, “is now significantly bigger,” according to a statement from the Karlsruhe-based Chrono24, which was cited by Bloomberg. It went on to say that the crypto market crash is making it easier to find the most popular models on the used market.
The survey states that the market for used luxury watches is beginning to slow down as seen by the declining prices of the most sought-after timepieces. Prior to it, rising cryptocurrency prices had caused the emergence of a new class of affluent consumers and an unheard-of spike in the cost of models from the most prestigious brands.
The prices of the most sought-after timepieces are now declining, moving more in line with those of other, comparable goods as these customers pull back.
Tim Stracke, co-CEO of Chrono24, said the trend symbolizes a market concentration.
The CEO disclosed that during the first half of 2022, trade volumes on the website—where dealers and individual sellers meet buyers—rose by more than 50%. Additionally, while the price of a Patek Philippe Nautilus 5711A has dropped to $190,000 from $240,000 in the first quarter, the cost of numerous Cartier and Breitling models has increased.
The German business has saw an upsurge in demand for practically all of the Omega Speedmaster models that were made possible by the partnership with Swatch. Additionally, Chrono24 anticipates an increase in total platform sales in the second part of the year.
Luxury watches and cryptocurrencies have a history together. Swiss timepiece TAG Heuer announced in May that it is integrating with Bitpay to offer online cryptocurrency payments to its clients in the United States. This month, Franck Muller, a second high-end Swiss watchmaker, said that it would be introducing a limited-edition Binance NFT line.