Despite growing adoption, a majority of Americans still view cryptocurrencies as “risky” and want no part of digital assets such as Bitcoin (BTC), Ethereum (ETH), and Dogecoin (DOGE).
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
A new Gallup poll found that only 14% of U.S. adults own crypto of any kind, a figure that has been steadily growing but still represents a small fraction of the investing public. The study shows that skepticism about cryptocurrencies remains, with 60% of respondents saying they have no interest in ever buying Bitcoin or another cryptocurrency.
Only 17% of people surveyed said they’re “intrigued” by crypto, and only 4% of respondents said they plan on buying a cryptocurrency in the near future. Despite the misgivings, crypto ownership rates in America have risen from 2% in 2018, helped largely by the launch of Bitcoin and Ethereum exchange-traded funds (ETFs).
Scams and Bankruptcies
Much of the continued skepticism stems from concerns investors have regarding high-profile crypto bankruptcies, as well as scams and online schemes related to crypto investments. And while institutional investors are increasingly jumping into the crypto market, many retail investors say they remain wary and are staying vigilant concerning digital assets.
The Gallup poll found a deep divide related to crypto. While one in four men aged 18 to 49 owns crypto, the survey found that ownership drops sharply among women and older adults. Recent college graduates and high-income earners report above-average participation, but seniors and low-income households remain largely absent from the crypto space.
Knowledge Gap
There also continues to be a knowledge gap around cryptocurrencies. While nearly everyone surveyed had heard of crypto, only 35% of respondents said they understood how it works. Familiarity was highest among young men.
Even among those who claim to understand crypto, most still call it a risky bet. Among U.S. investors, 64% see the asset class as “very risky,” up from 60% who said the same in 2021. Currently, only 4% of American adults say crypto is the best long-term investment. BTC has gained 27% this year.
Is BTC a Buy?
Most Wall Street firms don’t offer ratings or price targets on cryptocurrencies such as Bitcoin, so we’ll look instead at its three-month performance. As one can see in the chart below, the price of BTC has risen 24.43% in the last 12 weeks.
