Female investors help drive surge in demand for crypto, new eToro data shows

– Female investors in crypto jump in January, compared to the same period last year 

–  Ethereum and Dash see largest month-on-month increases in global trading activity 

A new wave of female investors is helping to drive the surge in demand for crypto assets such as bitcoin and ethereum, according to new data from global investment platform eToro. 

The percentage of female investors in bitcoin and ethereum has jumped to 15% and 12%  respectively over the last year, up from 10% and 11% at the beginning of 2020. 

Meanwhile, the data also shows the average age of investors globally in both major crypto assets has dropped in recent years. The average bitcoin investor was 37 years old in  2017 vs 35 years old now, while ethereum investors’ average age has fallen from 35 to 32  years old over the same time period. 

The demographic changes come amid a surge in the price of bitcoin; the crypto asset rose from approximately $8,000 to end the year near $30,000. This trend has continued in 2021,  with bitcoin hitting an all-time high of $41,826 in early January, before falling back, it is currently around the $37,000 mark. 

The eToro platform data shows that more investors than ever have benefited from this rise, with the number of investors in both major crypto assets jumping in the last 12 months. 

In total, the number of people holding bitcoin on the platform at the end of January 2021  compared with the same time a year ago has more than doubled, seeing a 106% increase.  Ethereum has followed suit, up 82% year-on-year. 

Ethereum also saw a substantial price increase and hit an all-time high this week, and was the second most traded crypto asset of January. Compared with the previous month, the smart contract platform’s token saw a 313% increase in trading activity.  

Meanwhile Dash, a digital currency positioned as a direct rival to bitcoin, saw the largest month-on-month increase in trades last month, rising 348% to put it back into the top 10.  

XRP was the only crypto asset to see less trading activity in January than the month before.  The token, which is the native currency for the real-time gross settlement system Ripple, has seen its trading restricted on eToro for US clients in recent weeks after US regulators filed a  lawsuit against Ripple. 

Simon Peters, market analyst, and crypto expert at eToro commented:

“The sector’s  broad appeal is, more and more, being reflected by its diversifying investor base. 

“Drilling down into the numbers, it is unsurprising to see both bitcoin and ethereum  dominating January’s trading activity after the year they have both had, but this market is 

growing all the time and there are opportunities across a range of crypto assets, as increased  demand for alternative crypto assets like Cardano and Dash has shown.  

“Nonetheless, these assets are volatile and should only be used as a small proportion of a  diversified portfolio.”

Top crypto assets invested in globally by eToro clients – January 2021
January rank  Cryptoasset  Percentage change in trading activity MoM  December rank
Bitcoin  167%  2
Ethereum  313%  3
Cardano  252%  4
XRP  -53%  1
Stellar  184%  5
Litecoin  136%  6
Bitcoin Cash  182%  8
Dash  348%  12
MIOTA  175%  9
10  Tron  85%  7

The data represents the most bought real crypto assets (i.e. unleveraged positions) by investors on the  eToro platform globally in January 2021. Data accurate as of 01.02.2021.  

About eToro 

eToro was founded in 2007 with the vision of opening up the global markets so that everyone can trade and invest in a simple and transparent way. The eToro platform enables people to invest in the assets they want, from stocks and commodities to crypto assets. We are a global community of more than 18 million registered users who share their investment strategies, and anyone can follow the approaches of those who have been the most successful. Due to the simplicity of the platform users can easily buy,  hold and sell assets, monitor their portfolio in real-time, and transact whenever they want. 

Disclaimer: eToro is regulated in Europe by the Cyprus Securities and Exchange Commission, by the Financial  Conduct Authority in the UK and by the Australian Securities and Investments Commission in Australia. 

This communication is for information and education purposes only and should not be taken as investment advice, a personal recommendation, or an offer of, or solicitation to buy or sell, any financial instruments. This material has been prepared without taking into account any particular recipient’s investment objectives or financial situation and has not been prepared in accordance with the legal and regulatory requirements to promote independent research. Any references to past or future performance of a financial instrument, index or a packaged investment product are not, and should not be taken as, a reliable indicator of future results. eToro makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication.

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