Two in five crypto investors in market for three plus years

Around two out of five investors in cryptocurrencies have been in the market for three or more years, according to new research from UK-based money app Ziglu.

Its study found that 40% of current crypto investors in the UK have held digital currencies for three or more years, with 8% saying they have been in the market for five or more years.

Ziglu commissioned independent research company Consumer Intelligence to interview a representative sample of 1,017 adults aged 18-plus between 19th and 21st August, 2021.

Almost one in five (18%) have started investing in the past six months, with 6% saying they have only come into the market in the past three to four months, despite recent price falls and market volatility.

Ziglu, which offers account services and also enables customers to buy and sell a range of cryptocurrencies, said crypto investors should look to take advantage of pound cost averaging - investing every month - to smooth out price volatility.

However, the research shows that only 12% of crypto customers buy currencies through regular monthly payments. Around 38% say they bought their cryptocurrencies in a single lump sum, while half (50%) bought their holdings in a number of lump sums when they thought the time was right.

Ziglu's study found 69% of investors estimate they've spent less than £1,000 on cryptocurrencies, and around 12% of investors questioned estimate their crypto holdings are worth £5,000 or more.

Mark Hipperson, founder and CEO of Ziglu said: "Cryptocurrency investing is becoming ever more mainstream, as shown by the fact that so many customers have now been in the market for three or more years.

"It's not just a flash in the pan driven by rising prices, and that's well demonstrated by how many people have been investing in the past three to four months, even as prices have been lower.

"It is also encouraging to see that investors are regularly drip-feeding money into their crypto investments rather than trying to time the market with one-off lump sums. The benefits of pound cost averaging are well known in the equity markets, and the principle applies equally well in the crypto market."