European cryptocurrency investors are more than sure about the future of the market. According to a new study, 60% of European investors increased by 50% their investments in digital currencies. Kantar, the research firm that conducted the survey, studied the market in Europe, Asia and Latin America.
Crypto Investments in Europe Continue Growing
According to this survey commissioned by BitMex, investors in different continents continue to enter the cryptocurrency market. There is a clear interest not only in investments but also in savings. This shows that there is a clear trend to consider virtual currencies as an alternative investment and also a savings method.
The results are impressive. 55% of the surveyed participants in Europe answered that they hold cryptocurrencies. Moreover, 61% of them considered digital currencies as a way to diversify their investments in the long term. This increasing interest in virtual currencies as a way to find new investment opportunities can also be seen in the 50% increase in crypto investments in the last year.
As per Michele Bertacco, BitMEX chief marketing officer, the survey is a way to understand the behaviour of cryptocurrency investors better. Let’s not forget that the cryptocurrency market has experienced unprecedented growth in 2021. Bitcoin (BTC), the largest and most prominent virtual currency has reached an all-time high of over $69,000 in some exchanges at the end of 2021.
Furthermore, there have been other digital currencies that offered investors great investment opportunities. This does not mean, however, that there is no risk in investing in virtual currencies. In fact, there have been many large scams that affected users and investors in recent years in the cryptocurrency space.
One of the most recent situations that affected investors was the disintegration of the Terra ecosystem with the UST stablecoin losing its peg to the U.S. dollar and LUNA dropping below $0.001 per coin. Hence, it is definitely important for investors to understand how the market works and avoid risky projects and scammers.
Furthermore, other investors in developing countries are already using not only Bitcoin as a means of payment but also stablecoins. Stablecoins are digital currencies that have their value pegged to fiat currencies such as the U.S. dollar. Therefore, in countries with high inflation rates or capital controls, USDT (Tether) becomes one of the main alternatives for citizens.
This shows that the survey could be very accurate to measure the behaviour of individuals in different countries. Additionally, it should help crypto companies build better solutions and services for users all around the world. Let’s not forget that BitMex is one of the most popular crypto trading platforms in the market with a user base dispersed through different jurisdictions.
Bitcoin continues to lead the market with a price per coin of $28,860 at the time of writing this article. This virtual currency has also a market capitalization of $550 billion according to data shared by CoinGecko.