It’s not just Bitcoin (CRYPTO:BTC) driving ASX investor interest

It’s not just Bitcoin (CRYPTO: BTC) driving ASX investor interest in cryptocurrencies. A range of altcoins is rising on investors’ radars.

| More on:
asx share price on watch represented by investor peering over top of bench

Image source: Getty Images

The Bitcoin (CRYPTO: BTC) price is down 1.7% over the past 24 hours. One Bitcoin is currently worth US$54,852 (AU$71,236).

The world’s biggest crypto, with a market capitalisation of US$1.02 trillion, continues to display high volatility. According to data from CoinDesk, the Bitcoin price traded at a 24-hour low of US$52,987 and a 24-hour high of US$56,662, a range of almost 7%.

Though well down from mid-April’s all-time high of US$64,829, Bitcoin remains up 88% year to date.

59% of surveyed ASX traders bullish on cryptocurrencies

While the upward trending Bitcoin price continues to garner the majority of financial media headlines, ASX investors aren’t limiting themselves to a single cryptocurrency.

Global investment and trading platform TradingView surveyed 2,134 Australian traders from its user base in February. Participants were asked what types of investment assets they were looking for in the year ahead.

Cryptocurrencies came in at number 2, just below shares. Furthermore, 54% of experienced traders (with more than 5 years in the markets) listed cryptocurrencies among their top 3 investment interests, while 65% of newer traders (with 1–5 years of experience) were bullish on cryptos.

Commenting on the survey results, Glenn Leese, director of growth for Australia at TradingView said:

The popularity of cryptocurrency appears to be moving ahead of most traditional asset classes. This seems to be true of both new and experienced investors. In fact, crypto is more popular than any other asset class among those that have been trading for less than 5 years.

Beyond general awareness, there is a key difference between the current crypto rush/momentum and previous ones in that it is not led by mum and dad investors, but rather by more sophisticated investors, institutions and corporates.

It’s not just Bitcoin driving ASX investor interest

TradingView noted that Bitcoin is far from the only digital token attracting investor attention, with altcoins getting increased attention on its platform.

Bitcoin represented 20% of the total views among the top 30 cryptocurrencies and only 9% of all cryptocurrency views on TradingView.

After Bitcoin, Ether and Ripple were the most widely viewed cryptocurrencies on the TradingView platform.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of May 24th 2021

Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and recommends Bitcoin. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News