A recent survey from finance app M1 of over 1,000 retail crypto investors finds that the majority plan to hold their crypto assets for more than six months. Despite the current “crypto winter,1” only 21% of respondents plan on selling crypto.
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“Crypto has been heavily associated with day-trading and short-term investing over the past decade. But as we move through another crypto winter, we’re unearthing the real reason investors continue to hold the asset class”
Fifty-five percent of respondents say they plan to hold their crypto investments for the next seven months or longer, with 39% of that group planning to hold for longer than 12 months. Only 15% of respondents plan to hold their current investments for less than three months.
Similarly, the survey finds that those holding crypto view the asset class as part of their long-term investing strategy. Forty-two percent state that they’re staying invested in crypto through the crypto winter because they view it as part of their long-term investment strategy. Forty percent state that they are staying invested because they believe crypto is a viable asset class and expect it to recover.
Still, the current market environment is changing the way existing crypto investors are approaching the asset class. Forty-two percent say they are tracking crypto prices and charts more closely and frequently. Thirty-eight percent say they are investing in more crypto assets than they typically would, while 13% state that the crypto winter is not changing the way they invest in crypto at all.
“Crypto has been heavily associated with day-trading and short-term investing over the past decade. But as we move through another crypto winter, we’re unearthing the real reason investors continue to hold the asset class,” said M1 founder and CEO, Brian Barnes. “A majority of the retail crypto investors we surveyed are in crypto for the long-term. They believe in its viability as a mainstream asset class, they see institutions ramping up investments in crypto and blockchain technology, and they see it having a place in their long-term portfolio. These are the crypto owners of the future – not just the day traders.”
Approaching Crypto as a Mainstream Asset Class
The majority of investors surveyed shared that they believe crypto will one day become a mainstream asset class. M1 found that 96% of respondents believe that crypto could become a mainstream asset class (like equities), with only 4% stating that it will never reach that status.
The investors surveyed vary on what they believe are the necessary steps for crypto to become a mainstream asset class. According to almost half (49%), it will take the widespread acceptance of crypto as a form of payment. Respondents also say that it will take widespread adoption by institutional investors (37%), widespread adoption by retail investors (35%) and regulation from the government (33%).
M1 has released this survey following the launch of its digital asset investing platform, M1 Crypto. Now available for all M1 customers, M1 Crypto allows investors to customize and automate their digital asset investment strategy
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