Survey reveals surprising crypto swing as Aussie housing bubble fears grow

Record low interest rates have spurred rapid housing price growth across Australia.

| More on:
A woman crosses her fingers as she flicks a coin into a fountain, hoping for good luck.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Crypto assets like Bitcoin (CRYPTO: BTC) and Ethereum (CRPTO: ETH) have been making plenty of headlines of late.

That’s in part because they both notched new all-time highs in November. And in part because crypto adoption is rapidly going mainstream.

Even the Reserve Bank of Australia (RBA) and Treasury are in discussions on launching a Central Bank Digital Currency (CBDC).

Now the latest YouGov research commissioned by crypto wealth platform Dacxi reveals that Australians are increasingly looking to crypto to build wealth, with 4 in 10 saying the Aussie property market is in a bubble.

Crypto investing plans rise on property bubble fears

According to the survey, 30% of Aussie adults believe “crypto will generate more value over the next 10 years than housing”.

As you’d expect, younger respondents were more positive on the outlook for crypto compared to housing than older respondents. 45% of Millennials agreed that crypto was likely to outperform housing in the next decade compared to only 15% of Baby Boomers.

As for people who’ve previously invested in digital assets, 81% said they thought crypto would generate more value than housing over the coming 10 years.

Based on the survey results, 17% of Australians are considering investing in crypto to save for a house deposit, while 56% do so with the intent to build long-term wealth.

Another striking survey result revealed that 29% of Aussies agree that it’s important to include crypto as part of an investment portfolio.

Commenting on the survey results and the markedly different responses between the age groups, Dacxi CEO, Ian Lowe said:

Vanguard has done incredible things for democratising access to traditional assets, but it has a blind spot when it comes to crypto. The next generation is looking for an alternative asset class they can have faith in that will perform well over the long term and that is accessible to younger, less established investors.

2 tokens considered to offer the best 12 month returns

Bitcoin and Ethereum topped the list of cryptos that respondents believe will provide the highest returns over the next 12 months.

According to Lowe:

Bitcoin recently hit another all-time high of US$68,521, then dropped as low as US$53,701 over the following 2 weeks. Picking price peaks and troughs is nearly impossible, even for professional traders. However, the 1 year and 3 year return on Bitcoin is 190.7% and 235.2% respectively, returns that have significantly outperformed even the booming equities market. And other headline cryptocurrencies like Ethereum also continue to perform strongly.

It’s not a surprise then to see that our survey found these 2 coins are considered the most likely to offer the best returns over the next 12 months, with 58% of respondents and 47% respectively.

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bitcoin and Ethereum. 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 Cryptocurrencies

a shiba inu dog looks happily at eh camera with his tongue out while his owner hods him on his chest as he sleeps on a hammock.

Here’s why the Dogecoin price has had such a great week

Economic data out of the United States and a surprise announcement by BlackRock offered some healthy tailwinds to cryptos over…

Read more »

A man holds his hand under his chin as he concentrates on his laptop screen and reads about the ANZ share price

Why this Bitcoin maximalist says all other ‘crypto is a scam’

Initially introduced in a 2008 whitepaper by one or more people going by the pseudonym of Satoshi Nakamoto, Bitcoin launched…

Read more »

A hand reaching into a computer to grab digital money, indicating a rise in the use of cryptocurrency

Why an RBA-issued crypto-like currency could soon be a reality

The RBA is piloting a central bank-baked digital currency.

Read more »

A male investor wearing a white shirt and blue suit jacket sits at his desk looking at his laptop with his hands to his chin.

Can the Bitcoin price reach US$30,000 again in 2022?

Rising interest rates have resulted in significantly less institutional investor interest in cryptos.

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.

Could this key metric signal more bad news for the Bitcoin price?

Crypto investors are keeping a close eye on the signals that could see the US Federal Reserve begin to ease…

Read more »

Man sitting at a desk facing his computer screen and holding a coin representing discussion by the RBA Governor about cryptocurrency and digital tokens

Is it smart to use dollar cost averaging to buy Bitcoin?

Should investors consider a DCA strategy for cryptocurrencies like Bitcoin?

Read more »

A hip young guy works at his home workstation with two screens and a gamers chair, keeping an eye on his crypto investments.
Share Market News

Bitcoin price dips in August after soaring 22% in July. What’s going on?

The greater presence of institutional investors in crypto markets looks to be adding to the correlation between cryptos and other…

Read more »

A very sad beagle cross dog lays dejectedly on a sofa with his short legs stretched out in front of him in a pose of flat defeat as he stares sadly at the camera.

Expert panel slashes 2022 outlook for Dogecoin price. Here’s why

Originally created as a joke, Dogecoin still has a market value of nearly US$9 billion despite crashing 91% from last…

Read more »