The cryptocurrency markets have lost hundreds of billions of dollars since experiencing all time highs in early 2018. With Bitcoin dropping from nearly $20,000 to its current price hovering around $6000 and many altcoins down about 90%, it’s fairly easy to say that many crypto holders are hurting right now. But even with these tough conditions and regular crashes, many cryptocurrency buyers still plan on getting more.
According to a survey conducted by SharePost, even though the market has been suffering through some hard times, an overwhelming majority of crypto consumers plan to increase their holdings over the next 12 months.
While the survey delivers a positive message of crypto holders’ intentions to buy more digital assets, it also shows us that the crypto and blockchain world still faces some tough challenges.
Security and volatility remain huge concerns for investors and consumers, but one of the biggest roadblocks in the way of crypto mass adoption is the lack of education the public has when it comes to blockchain and dApps.
According to the survey, “55 percent of investors and 57 percent of consumers picked lack of understanding as the top challenge while half of both investors and consumers believe lack of effective use cases as their primary concern.”
Investors fear the short term volatility that Bitcoin and altcoins have displayed in their young histories. The up and down nature of the cryptocurrency market keeps a lot of interested parties on the sidelines watching and waiting for a time to enter and keeps many away altogether.
Even with an overall optimistic view of the outcome of long term adoption of blockchain applications, the short term negatives are hindering the cryptocurrency market.
“Despite the 60 percent decline in cryptocurrency valuations this year, consumers and investors continue to offer a bullish, long term outlook for crypto and Blockchain. However, investors have become less optimistic about near-term cryptocurrency trends while consumers’ positive outlook remains largely unchanged since the beginning of the year.”
Cryptocurrency faces several challenges including volatile markets, and a major lack of understanding that is keeping average people away from cryptocurrency. Yet still, the people who are already invested intend to buy more.
Blockchain startups and foundations need to bridge the education gap and provide simple solutions for using cryptocurrency and blockchain applications in everyday life.