Who is buying bitcoin? The new generation of investors is among us now!

Who is buying bitcoin?  The new generation of investors is among us now!

Cryptocurrency is a completely new phenomenon in the financial market, and the answer to the question “who is buying bitcoin” will concern the new generation of investors first. Their main goal is to earn on the sale of the asset at the best moment, when its value will be at its peak. Bitcoin is characterized by the high volatility, and its price within a day can change dramatically. What rules are participants guided by in the cryptocurrency market, and who decides to join this difficult and risky game?

Table of content:
- Why is Bitcoin so popular?
- BTC popularity and price changing
- Lend EDU research: what are the main questions?
- SurveyMonkey’s interview results
- Conclusion

The secret of bitcoin success
Before talking about people who are actively buying crypto coins, you should find out the question, why bitcoin is so attractive? Firstly, the financial world has long been waiting for the emergence of some bright innovation, so many actively grasped the idea. Secondly, Bitcoin promises decentralization, full independence from states and governments, anonymity of transactions, protection against inflation and counterfeiting. Thirdly, there is a category of people who like trying their hand at new projects and invest in risky enterprises.
The great role in the popularity of bitcoin is played the media and advertising. At the time of its appearance, one such virtual coin did not cost anything. Hand on heart, now it is also difficult to be evaluated from a traditional point of view, because it is not a material value. However, cryptos are actively spoken in the media, they are discussed at the level of governments and states, large corporations are showing great interest in this phenomenon. All these things enlarge the price of a virtual currency, and speculators are rushing to take advantage of the situation.
Dynamics of the rate and research of LendEDU Company
Initially, the price of bitcoin corresponded to several dollars, in other words it was symbolic. This situation continued until 2013, when, to the surprise of many enthusiasts, the cost rose to several hundred USD, and then passed the mark of a thousand. In the period from 2014 to 2017, judging by the schedule, the price interval was in the range from 100 to 1000. In May 2017, 1 BTC was given 2900 USD. At this time hot discussions of the cryptocurrency in the information space began.
At the first stages of becoming, the coin did not attract the attention of a large number of people, but in 2017 a real boom began. Miners and BTC investors rose in number, and it provided the impetus for the further rate growth, which had reached the mark of 10 000 USD! Who is buying bitcoin at this time? The company LendEDU undertook a special study on this topic. What is the mood of the customers, and what do the cryptocurrency holders expect?
For what purpose did you buy bitcoin?
The survey was conducted among US residents. A total of 564 people were questioned. They all have already bought bitcoins. The cryptos are more popular among young people from 18 to 34. Representatives of the older generation treat the novelty with caution. Slightly less than half and more specifically 40% of respondents are sure that having bought crypto coins, they joined the new world trend. In their opinion, bitcoin is a revolutionary technology that changes the world. 21% of respondents saw in the virtual asset a depository of value comparable to precious metals. 15% of people bought bitcoin after communicating with relatives and friends who convinced them to do it. 14% were attracted by the low cost, and 8% decided to use crypto as usual money - to shop, pay bills, etc.
At what price are you willing to sell your asset?
Keeping bitcoins in the wallet is not the best way to earn, but not all players of the cryptocurrency market think so. The sale in the future - that's what will really make money, especially bearing in mind the popularity of the coin and the volatility of the course, which recently, despite the fall, still tends to the maximum. 33% of respondents have already sold part of their bitcoins; when as 67% still keep assets in their wallets and 20% of them do not plan to part with the assets in the coming years. An interesting fact is that the company conducted a survey not among business sharks, but asked questions to ordinary crypto enthusiasts.
Relations with the tax service
Who is buying bitcoin? This issue is not idle for the tax authorities. Beginners, who started with small amounts, reached a high level. Such a serious income cannot but attract the attention of the fiscal authorities. In some countries, taxes on operations with cryptocurrency are still under consideration, but interestingly, LendEDU respondents have mostly reported or will soon report their cryptocurrency income to the tax service. There are 64.13% of such people. The rest won’t reveal the information about transactions.
SurveyMonkey and Global Blockchain Business Council survey
LendEDU is not the only company that conducted a survey to find out the identity of the BTC buyer. The joint work of SurveyMonkey and the Global Blockchain Business Council allowed the coverage of an audience of 5,700 American adults. 60% know about bitcoin, i.e. read, heard, watched on TV, but only 5% own digital currency. 71% of the respondents are young men under 34 years old. In the opinion of those who are positive about crypto coins, bitcoin deserves more confidence than the government, the monetary unit has protection from manipulation and hedging, anonymity also attracts.
Who is buying bitcoin? In this article, we did not talk about the VIPs of the financial world, the holders of large amounts of cryptocurrency, the owners of untwisted exchanges and huge mining pools. Our hero is an ordinary person who is interested in the digital money and wants to become a participant in a new process. However, he or she should not be an amateur. Going to the trade path of the cryptocurrency, everyone should understand that there are a lot of risks here, be able to make forecasts, monitor the situation on the market, have own buying strategy. It is very important not to be led by the hot emotions and excitement. There are people who invested in the purchase their last savings and even after taking out a loan. Making any financial transactions, you need to keep calm and restrained.