During an interview with CNBC, Jason Kupferberg, a Bank of America analyst interview with CNBC, Jason Kupferberg, revealed that a survey with over 1000 adult respondents in the United States was conducted. The survey was conducted following Terra's ecosystem collapse; however, it happened before the capitulation of this week's cryptocurrency.
Given the crypto market's current state, the results came as a shock. Kupferberg expressed his surprise,
It was interesting to see that 90% of respondents said that they plan to buy some amount of crypto in the next six months.
Additionally, he said 90% of respondents revealed that they had acquired some crypto assets in the past six months. Although the Bank of America carried out the survey, the bank currently has zero plans to offer the public its crypto trading services.
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The respondents revealed the reason they have plans to buy cryptocurrency this year is as a result of increased payment methods. Crypto-to-fiat products like the Visa card from Coinbase have made buying crypto easier. Also, the innovation is a "win-win for both consumers and merchants."
Kupferberg also confirmed that both crypto and bitcoin correlated to risk assets like high-growth tech stocks. He compared crypto with the early stages of the internet when people were swept by the tide of purchasing dot com stocks.
"The reality is that there are too many crypto exchanges, there are too many cryptocurrencies and tokens."
Furthermore, according to the survey, many investors were investing in crypto for a short while. For example, about 77% of investors only held their crypto assets for less than 12 months. Also, about a third of respondents admitted to having no intention of selling their assets in six months.
The reason for the present crypto market crash, which also didn't spare the stock market, is macroeconomic woes. Owing to this, the recovery of both markets will be slow, probably until the global economy recovers, likely in the coming year. Presently, the total Crypto market capitalization is down about 70% from the record of its all-time high. However, former bear markets recorded over 80% decline, so the market may not be at the bottom just yet.