Bank Of America conducted research in early June after the LUNA crash to determine the market sentiment towards Crypto. Surprisingly, the result showed that people are still planning to buy HODL and even use Crypto for online transactions.
This result is surprising because the crypto community is still reeling from the market crash. But even with the ongoing downtrend, many people still believe crypto will rebound. The respondents in this survey were up to 1,000. 90% of these numbers told the researchers that they plan to invest in Crypto before the end of 2022.
Related Reading | More Than 253,000 Traders Liquidated As Crypto Bloodbath Continues
The researchers also discovered that the number of those already using crypto and those planning to invest is the same. By that, the BoA analysts concluded that crypto sentiment is still positive even with the ongoing woes in the market.
Cryptocurrency market on its road to recovery | Source: Crypto Total Market Cap on TradingView.com
But this stance is different from what top crypto critics think. For someone like the Berkshire Hathaway CEO, Warren Buffet, Bitcoin doesn’t have any weight because it does not produce anything. Buffet made his stance clear when he declared that he wouldn’t buy all the available BTC for 25 bucks even if someone offered them to him.
This statement supported his belief that Bitcoin is not impressive whether the price skyrockets or plummets. Buffet sees BTC as an asset that investors keep passively hoping that the price will increase. To him, that’s not something to applaud.
30% Plan To HODL, 39% Already Use Crypto
From the survey, the BoA analysts discovered that 30% of the people who responded were crypto holders. This group said they don’t plan to sell their crypto this year. Instead, they intend to HODL and wait for a better price in the future.
Surprisingly, some investors are still hopeful that crypto will rise again from the ashes. Even though some analysts say there is no end to the ongoing bearish trend, investors still wait.
The sentiment, according to BoA analysts, is a good one. It shows that all hope is not lost for crypto. But he also stated that investors should be wary as the recent FUD in the industry might still cause another downtrend.
As for the other 39%, this group disclosed they’re already buying things online with digital assets. To them, digital assets are a means of paying for online purchases, not a value store, as enthusiasts say.
Canadian Bank Survey Supports Holders
The survey shows that cryptocurrency owners in Canada are not using it as a mode of payment. Instead, they are using it as an investment asset. In 2021, 13% of Canadians owned bitcoin as compared to the 5% who owned bitcoin in 2020.
According to the bank, BTC holders held an average of $500 cryptocurrency value. The Bank of Canada revealed a two-times growth in bitcoin use.
Related Reading | By The Numbers: Bitcoin Suffers Largest Single Day Drop Since March 2020
Regarding Bank of America’s interest in digital assets, the CEO says it can’t join the market yet due to the regulations prohibiting them from doing so.
Featured image from Forbes, chart from TradingView.com