Bitcoin Reigns Supreme, Still Accounts For 46% of the Total Value of Crypto Markets: Survey

Despite several altcoins, especially the meme cryptocurrencies, gaining popularity, Bitcoin BTC/USD, the mother of all cryptos and the most valued digital currency continues to rule the roost.

What Happened: Investors are showing increasing inclination to own Bitcoin as a profitable long-term investment rather than as a currency, an online survey conducted in August by 8 Acre Perspective on behalf of Grayscale Research.

How Bitcoin Adoption Is Shaping Up: The proportion of Americans who own Bitcoin increased from 23% in 2020 to 26% in 2021, the survey revealed.

More than half of Bitcoin owners prefer to invest through a cryptocurrency trading app such as eToro or Coinbase Global Inc COIN. This is in stark contrast to last year when more than three-quarters surveyed preferred a Bitcoin exchange.

Additionally, more than half of Bitcoin investors began investing over the last 12 months. Most are hodlers, with about 66% of those who purchased Bitcoin more than 12 months ago still owning it.

Among the sellers, 91% have sold at least some Bitcoin at a profit.

Related Link: Buying The Dip? MicroStrategy Acquires $414M Worth Of Bitcoins, Taking Total Holdings To $3.57B

Bitcoin has stood the onslaught of the rise of market segments and use cases, the survey showed. Despite the emergence of decentralized finance and non-fungible tokens, Bitcoin still accounts for 46% of the total value of the crypto markets.

In a curious finding, among investors who have shown an interest in Bitcoin investment products, the greatest increase in 2021 was among older investors.

Among those who said they would either definitely or probably consider Bitcoin investment products, a 16% year-over-year jump was seen in people in the age group of 55 to 64 years.

The percentage of female investors who would consider Bitcoin investment products climbed 6%.

Bitcoin Spot ETF Could Increase Adoption: About 77% of U.S. investors said they are more likely to invest in Bitcoin if an ETF is launched. Since the respondents gave their opinion, the ProShares Bitcoin Strategy ETF BITO, an ETF based on Bitcoin futures, has been introduced.

Beyond the scope of the survey, the Bitcoin community at large generally prefers the approval of a spot-based Bitcoin ETF backed by actual Bitcoin and not futures, Greyscale said.

At last check Monday afternoon, Bitcoin was seen up 0.69% at $49,314.94.

Related Link: This Big US Investment Bank Is Doubling Down On Its Bitcoin Exposure

Image by 3D Animation Production Company from Pixabay