- Bitcoin could surge to new highs due to a shift in investors demographics
- There is a growing interest in Bitcoin and digital assets
- The global digital currency trading volumes in June drops significantly
Bitcoin News Today – According to data, the price of Bitcoin could surge to new highs due to a sharp shift in monetary power and investor demographics. Over the past month, the world’s largest digital currency by market cap has been trading sideways. Many altcoins in the market, such as Ethereum (ETH) and Chainlink, have outperformed BTC in terms of gains amassed.
The digital currency also hit low volatility levels last seen in November 2018. Besides, the trading volume of Bitcoin in its USD and USDT pairs has reduced by 46 percent and 56 percent respectively. Data from CryptoCompare also showed that the global digital currency trading volumes in June have reduced by 49.3 percent.
A Shift in Investor Demographics Could Send BTC’s Price to New Highs
While all these data being released as some of the factors behind the recent downtrend in the price of Bitcoin, there are still a couple of bullish scenarios out there. Stack Funds recently reported that a shift investor demographics may soon push the price of Bitcoin (BTC) to new highs. Using data from Coindance, it was reported that 50 percent of BTC investors are millennials.
Because the transfer of wealth between generations is happening pretty fast, Stack Funds believes that the newly found financial freedom of millennials could push this young generation of investors to put enormous buy pressure on BTC. The firm reported:
“As the millennial generation enters into the peak age of investment maturity, we believe this tech-savvy group would propel the significant shift in investor demographics, in turn, increases the propensity of bitcoin investments.”
Interest in Bitcoin and Crypto Continue to Increase
According to the report, the interest in Bitcoin (BTC) and other digital assets among other generations is on the rise. This phenomenon could further cement the position of Bitcoin as an investment asset class. A recent survey of Canadian citizens showed that ownership among 56 to 76 years old (baby boomers) has tripled recently. A recent research paper by the FCA also revealed that people that own BTC over age 35 increased enormously.
The rising interest in the digital currency for older investors and the shift in investment power to new generations could push the price of Bitcoin significantly higher. Nevertheless, institutions have a major role to play, as they could provide an easily accessible on-ramp for new institutional and retail investors to invest in the digital currency. The report reads:
“In our conservations with investors, we noted that part of this buying pressure reflects parents from gen X and baby boomers who are looking to invest long term for their children’s future.”