Crypto investors open to investing 50% of their savings into cryptocurrencies, a new survey shows
The sudden rise in the value of Bitcoin is changing the behaviors of cryptocurrency investors around the world. Bitcoin looks set to achieve a new all-time high in 2021 as the world’s most popular digital currency price chases $40,000 for the first time.
Buoyed by the over 275% increase in the price of bitcoin in 2020, crypto investors appear to have shrugged off the negative news of the coronavirus COVID-19 pandemic and are ready to invest some of their savings in cryptocurrency.
According to a new survey conducted by Bitcoin IRA, the world’s largest digital asset IRA technology platform that allows clients to purchase cryptocurrencies and other digital assets for their retirement accounts, crypto investors are now more bullish than ever and open to putting over 50% of their savings into cryptocurrencies.
In a 2020 survey asking individuals for their market sentiment and investing choices on crypto, a quarter of respondents stated they have invested 50 percent or more of their total cash or savings into crypto. Fourty percent of responders also believe Bitcoin’s price will be at least $50,000 at the end of 2021. Bitcoin’s price passed all-time highs in 2020 and investor sentiment remains high likely due to large Bitcoin investments by major companies such as PayPal and MicroStrategy among many others.
28% of the responders also cited concerns of a significant rise in inflation as their primary reason for buying crypto. This number is nearly twice as many that said that reason in the company’s previous annual survey in 2019 (17% selected “inflation” then). Other reasons for buying crypto included that they believed prices would go up (65%) and that they simply wanted to diversify (29%).
The survey also found that chainlink remains the #1 most requested alternative coin, “altcoin,” for investing (excluding Ethereum) with 22% of respondents selecting it. Other top requested coins included Stellar Lumens (XLM), Polkadot (DOT), and Cardano (ADA).
Lastly, earning interest remains very desirable for crypto holders as 26% of all respondents requested it. An additional 15% of users wanted to earn rewards through “staking,” which is another method of earning a return on crypto holdings.
The 2021 consumer survey was sent on December 28, 2020, to a randomized group of individuals comprised of the company’s clients, account holders, and customer prospects since 2016. 284 respondents completed the survey. Individuals did not receive compensation or likewise for their participation in the survey.