In the past six months, a new phenomenon has emerged among a growing number of investors who are selling their shares to purchase more crypto. A survey by consumer data aggregator CivicScience has found that the percentage of the Gen Pop who invest in cryptocurrency as a long-term growth investment has jumped from 23% to 30%.
In June, only 10% of respondents said they would be more likely to invest their money in cryptocurrency than traditional stocks, the number rose to 24% by November. Those not interested in crypto continue to decline, from 80% in May to 68% currently.
The
survey questions were sent to people in the U.S. at varying times during 2021 and each question had between 1000 and 41,000 respondents. Out of 3,700 respondents the number who answered that they would be more likely to invest their money in crypto than traditional stocks increased 140% in just five months.
Source: civicscience.com
Investors are seeing cryptocurrency as the next big thing in the financial sector and this is luring them away from other areas. It’s only natural, as investors seek the profits of the industry over those of other financial products. There has been a significant migration of consumers from the stock market towards the cryptocurrency industry.
The report shows that more than 1/5 of investors have sold more than half of their stock assets in order to buy cryptocurrency - a surprisingly significant number. Furthermore, this number largely comes from those who very closely follow financial markets and the economy. 44% of the 1,988 investors who had sold stocks for crypto said they had sold less than 10% of their portfolios.
Source: civicscience.com
Another similar report from
cardify created through transactional data and in-depth survey insights showed that investors put an average of $263 into accounts dedicated to coins, more than the average $250 they put in traditional brokerages during September. According to cardify, consumers have never been so invested in crypto as they have in the past year and a half. For those invested, over past 6 months crypto represented an all-time high over 25% share of total investment deposits.
Source: cardify
The trend reflects that while the volatility of cryptocurrency is still an issue, but as an asset it continues to be increasingly embraced by the investing class, indicating that broad acceptance by the general population is only a short time away.
A growing number of companies now accept cryptocurrencies for payments. In September, El Salvador allowed Bitcoin as legal tender in the country. A poll from research and data analytics firm YouGov in September said that more than one in four residents in the United States would support the government if it makes Bitcoin a legal form of currency. Recently, Facebook's rebranding to Meta has given an extra jolt of confidence in crypto sector.
