Bitcoin enthusiasts enjoyed a good run for a couple of years. Some of them reaped great profits from investing and trading this cryptocurrency. In fact, at one point in 2017, the price of bitcoin skyrocketed from $1000 to a whopping $20000. To the dismay of traders and investors, the gain occurred in less than 12 months.
Unfortunately, the good run has fizzled out in recent times. Bitcoin has failed to live up to its hay days. Its price took a dip and doesn’t seem to be making any significant recovery. For most of the traders and investors, the situation has been worrying. Its value, together with that of other cryptocurrencies have been said to have fallen with over $400 billion.
But, according to a new survey, things might be looking up for bitcoin. The younger generation and the millennials are still showing considerable interest in bitcoin and other cryptocurrencies. This can be attributed to a few things, including their lack of trust in traditional financial systems as well as the lasting effects of the global financial crisis.
Over 40% of the millennials have shown more trust in the cryptocurrency market than the current U.S stock market. In a Nationwide survey, 1000 online younger traders in the U.S from the popular brokerage site eToro were compared to those who belong to Gen X. It was found that 77% of the people from Gen X had more trust in the stock exchange market than the crypto exchange. 59% of the participants across all age groups who do not engage in any cryptocurrency trade whatsoever admitted that they would actually invest in this sector, only if it could be offered through the traditional financial institutions.
A staggering 92% of the respondents who are currently trading in cryptocurrency said they would be more at ease if bitcoin and other cryptocurrencies were offered by the traditional financial sector.
eToro managing director, Guy Hirsch, said that they are seeing a generational attitude shift in trust from traditional stock exchanges to crypto exchanges. He pointed out that the devastating fall of Lehman Brothers due to irresponsible practices together with one of the worst recessions since the great depression contributed enormously to the younger investors lack trust in the stock exchange market.
The trust issues continued to rise when the American people witnessed how hundreds of billions of dollars from taxpayers’ pockets are injected into the largest financial institutions while their savings go down the drain. On the other hand, banks get free money through quantitative easing programs while the cost of living for the ordinary citizen continues to rise.
The survey has sparked off a lot of optimism for bitcoin investors and traders. Bitcoin enthusiasts are now looking forward to the much awaited Bakkt bitcoin platform as well as the U.S exchange-traded fund (ETF) for bitcoin which are likely to uplift the current bitcoin prices. However, these expectations are far from fruition, especially, given that the U.S Securities and Exchange Commission have concerns over possible price manipulations.
The said Bakkt bitcoin is being developed in conjunction with the New York Stock Exchange owner, which is the Intercontinental Exchange. There are also other prominent partners on the project, including the global PC giant Microsoft and the renowned coffee shop chain, Starbucks. Moreover, there are solid plans to provide future bitcoin trading sometime this year. This will open up bitcoin and other cryptocurrencies to the vast retail market around the world.
Amidst these recent varying developments surrounding the bitcoin, the younger generation and millennials are showing great potential in turning things around. If all goes well, bitcoin prices and those of other cryptocurrencies might recover considerably.
Although the question of whether bitcoin and other cryptocurrencies will be offered by traditional financial institutions lacks a clear answer, the efforts being made by world-class firms towards providing trusted bitcoin platforms are promising.
This shift of attitude by the younger generation may be the solution to bitcoin current price woes. In the long run, Bitcoin prices may relieve their hay days, if not so, the enthusiast of cryptocurrencies may at least get to enjoy better prices as well as a more stable market.