What if baby boomers join the battle? That’s what data revealed by Mode Banking, an emerging British cryptocurrency buying platform, suggests.
Baby boomers & Generation X have the wind in their sails
It’s official, the “baby boomers” (1946-1964) and Generation X (1965-1980) are expanding their field of investment. Bitcoin would be one of the big winners in this new trend. After comparing its data from February to June 2020, the British firm could see the growing appetite of the most experienced generations.
Analysis of the data shows a growth in bitcoin purchases of 2.24x between February and March, 4.49x between February and April and 8.88x between February and May. The containment period was therefore conducive to exploring alternative investments among this new class of buyers.
Despite the dominance of millennials and Gen Z in the growth of Bitcoin-related purchases, the gap is becoming narrower between generations. Before the pandemic, the growth observed among baby boomers and Generation X was 61% . During confinement, it exploded to reach 107%.
The gap between generations of investors has now shrunk from 57% to 18%.
“Bitcoin is becoming popular with all age groups and is gaining credibility with institutional investors. We expect Millennials to continue to buy cryptocurrencies, but seeing more experienced buyers also take a liking to it is an extremely positive factor in the growth of the industry.”
Investing in bitcoin, a trend driven by fear?
In parallel, another piece of data is credited with the notion of “safe haven” conveyed by Bitcoin.
Google searches for the keywords “where to invest” have grown considerably since the start of the pandemic phase, and reveal a feeling of fear and helplessness in households.
The final word goes to Biz Stone, co-founder of Twitter, commenting on the study in question:
“This study is very revealing, we are seeing a real change in the behavior of investors today, a direct consequence of the health situation.”
If the adoption of Bitcoin were to be confirmed, it would surely be driven by the so-called millennial and Z generations, demonstrating a superior technological appetite. However, the majority of wealth is now in the hands of the older generations, so their involvement is crucial to make this new asset class and its success credible.