The proportion of Australian HODLers is back to 2021 levels (study)

The proportion of Australian HODLers is back to 2021 levels (study)

The latest ASX Australian Investor Study estimates that around 15% of Australians have a portion of their wealth invested in cryptocurrencies. The number is somewhat similar to the 17% recorded during the 2021 bull market.

The research also showed that young Australians are more inclined towards the industry, with 31% being HODLers.

The latest trends in the “Land Down Under”

According to the analysis, around one in seven Australians have entered the cryptocurrency market, with men (69%) making up the largest proportion of investors. Most people have spent between $340 and $3,400 on digital currencies, while only 10% have invested more than $67,000.

A closer look at the different population groups shows that young people are significantly more interested in the market than older generations. 31% of so-called “next generation investors,” those with an average age of 21, have purchased Bitcoin or altcoins.

The company that conducted the study believes that younger people are “more risk averse than their older counterparts,” which is why they are more likely to tolerate the volatility of cryptocurrencies and enter the ecosystem.

"The majority understand the cyclical nature of investing. 29% say a 20% decline in their portfolio holdings is a risk that they know could happen, and another 36% say if this were to happen they would be concerned but would wait to see if it did." the situation has improved,” ASX said.

It added that “next generation investors” are excited about new technologies and sometimes want to get involved in things their parents would avoid.

High-value investors (HVIs) also find the sector attractive. 33% own digital currencies, while their average investment is almost $88,000.

The next study's total numbers could rise if "interested investors" (around 1.33 million people) decide to jump on the bandwagon. This proportion represents people who have not yet made investments but are considering doing so in the next 12 months. 29% of them admitted that they would choose cryptocurrencies over all other options.

Investing in stocks and property remains the most common choice for Australians. Term deposits, ETFs and international stocks round out the top five, while crypto takes sixth place.

Australians' Favorite Investments, ASX

Last year's figures

It appears the ongoing uncertainty in the crypto market has led to a major investor outflow among Australians, according to Independent Researchappreciatedin November 2022 that over 25% of locals were HODLers.

Similar to ASX, last year’s analysis found that teenagers were more likely to purchase digital assets. In comparison, only 10% of those over 65 have done so.

Cryptocurrency awareness was high, with almost 90% aware of the existence of Bitcoin. Almost 43% had some knowledge about Ethereum (ETH), while Tether (USDT), Dogecoin (DOGE), Ripple (XRP), Solana (SOL) and Cardano (ADA) were also popular.

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