Over 80% of Crypto Holders Made Investment Decisions on FUD and FOMO, Kraken Survey Claims

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As an analyst with over two decades of experience in the financial markets, I find the Kraken survey results both intriguing and concerning at the same time. The prevalence of FOMO and FUD in crypto purchasing decisions is staggering, and it underscores the emotional rollercoaster that many investors are experiencing in this rapidly evolving market.

Based on a recent survey by Kraken, the fear of missing out (FOMO) and uncertainty/doubt (FUD) have significantly influenced crypto buying choices for over 80% of users. In fact, almost 88% of respondents expressed the belief that they had missed out on substantial profits.

In my analysis, it’s clear that the survey data indicates a more intense enthusiasm for potential future profits compared to feelings of remorse over past chances not seized.

Kraken Sheds Light on FOMO and FUD In Crypto Investments

Here’s a possible paraphrasing for your text: This survey revealed an impressive pattern showing how emotions impact the crypto market. Specifically, Kraken, a well-established centralized exchange, is keen on collecting such data. In fact, it recently added 19 new tokens to its future plans due to the optimistic mood following the elections last month.

In straightforward terms, Kraken highlights that the frequent bursts of excitement (or hype) within the cryptocurrency market have tangible effects:

According to a recent survey, it was found that around 81% of crypto investors have made decisions based on fear, uncertainty, and doubt (FUD), while approximately 84% have been driven by the fear of missing out (FOMO). Notably, these investors tend to be more concerned about not gaining profits from the cryptocurrencies they already possess, rather than worrying about missing opportunities with new digital currencies.

It’s worth noting that Kraken undertook this study at an opportune moment, as Bitcoin reached a new milestone of surpassing $100,000 for the first time. The overall bullish trend in the crypto market has already propelled numerous digital assets, and the positive momentum continues. The findings of the study offer two significant insights: emotional factors play a substantial role, and there’s clearly high levels of market optimism evident.

The study additionally disclosed demographic details that proved particularly insightful. Generally speaking, except for minor discrepancies, each successive older group is more convinced that it has suffered the largest losses in cryptocurrency and believes there are yet more gains to be made. Majority of individuals aged 18 to 29 feel they have missed out on substantial profits, whereas the majority of users over 60 remain optimistic.

Furthermore, the study also revealed a disparity in these patterns across genders. To illustrate, there’s a difference of 24% between males and females who invested in cryptocurrency due to the fear of missing out on a price increase.

It seems that men tend to experience a greater vulnerability to the fear of missing out (FOMO). This pattern is consistent across multiple similar queries. Unfortunately, the report did not discuss nonbinary individuals who were part of the survey.

In summary, Kraken’s analysis pinpointed significant causes of fear, uncertainty, and doubt (FUD) as well as fear of missing out (FOMO), offering guidance for sensible investment strategies. While social media serves as a useful tool for market insights, it also tends to be the primary source of these emotional triggers. The advice given is to adopt a discerning perspective when navigating the market.

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2024-12-05 21:25