The crypto winter has slowed a lot of things down but not the number of American crypto investors. There has been a steady rise in crypto investments in the US, and the number of investors has more than doubled in the last 2 years. This is despite the current economic turmoil, strong regulations, and an impending recession. Hence showing that the belief in the future of cryptocurrencies stays strong.
Crypto adoption is rising in the US
Despite the bear market, Finbold reports that the fraction of Americans invested in crypto has increased by 125% since 2020. At the time, only 8% of US citizens were invested in crypto, which has surged to 18% now. This is quite a good number for adoption in 2 years. The data also shows that even more Americans are planning to invest in crypto in the near future. This number has also increased from 11% in 2020 to 15% in 2022 (a jump of 36.36%).
This bear market is not unlike any other we have seen before. In terms of price, yes, we have seen a major collapse, but other than that, there has been no slowdown in adoption, developments, and institutional investments. Long-term investors are still holding on to their coins, and we are slowly moving ahead in this bear market. 2022 is almost over, and there isn’t much time left for the next halving. This could be one of the reasons why the bear market is being ignored by investors.
Reasons behind crypto investment
The 2013 and 2017 bear markets have been indications that crypto bounces back no matter what. And a lot of investors who had their eyes on the market but didn’t invest during that time are now the primary drivers of crypto investments. This does come with its own risk, but we should note that if we see past data, the markets will rally again during the next halving.
Plus, bear markets are the best time to make investments because everything is available at an 80-90% discount which means huge returns when markets bounce back. It has also become much easier to invest in cryptocurrencies due to the advent of numerous platforms in the past few years. All this has contributed to the huge growth in the number of Americans invested in crypto.
What are your thoughts as data shows that the number of American crypto investors surged by 125% from 2020 to 2022? Let us know in the comment below. And, if you found our content informative, share it with your family and friends.
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