Yahoo Finance 91% of crypto users plan to buy more over next 6 months: BofA survey
The crypto market has taken an ugly turn, but digital assets still remain appealing to crypto investors and the crypto curious.
According to a new survey of U.S. crypto users and prospective users from Bank of America Global Research, 91% of respondents said they intend to buy cryptocurrencies in the next six months despite a sharp decline in prices.
The same number of respondents also reported purchasing coins and other digital assets over the past six months.
The survey includes responses from 1,013 participants and was conducted by BofA in the first week of June, before the latest washout in crypto markets seen in the last few days.
Most respondents were new to the space and reported small balances. Nearly half of users said they did not own crypto but plan to buy digital assets in the near future, and the most commonly reported transaction size for both buys and sells was under $25.
Those who reported owning cryptocurrencies listed price appreciation, portfolio diversification, and interest in technology and being part of a community as key reasons for holding.
Paypal (PYPL) and Coinbase (COIN) were the most widely used exchanges, BofA found, with 53% and 46% of people using these platforms, respectively.
Coinbase, however, was listed as the most preferred exchange among all users, and 47% of existing crypto users listed the platform as their favorite among all services. For users who hadn't yet purchased crypto but plan to over the next six months, PayPal was listed as the most preferred service.
Block's Cash App (SQ), Robinhood (HOOD), and Crypto.com rounded out the top 5 exchanges for both existing and prospective users.
Among existing crypto investors, 75% said they owned Bitcoin (BTC-USD) while 44% said they owned Ethereum (ETH-USD). About a quarter of existing crypto investors — 26% — said they owned meme coins such as Dogecoin (DOGE-USD) or Shiba Inu (SHIB-USD).
For existing crypto investors, "I think the price will go up" was cited as the most popular reason for investing in cryptocurrencies.
This reported interest in crypto comes amid a deepening sell-off in the space as investors brace for aggressive action from the Federal Reserve to fight inflation.
Bitcoin, the largest digital cryptocurrency, extended its slide Tuesday to dip below $22,000, its lowest price level since 2020. Meanwhile, Ethereum — the second-largest digital coin — fell beneath its 2018 peak price of $1,396 and was trading below $1,200 Tuesday morning.
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Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc
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