The next year is likely to see a rise of bitcoin allocation in retirement portfolios, according to a report on bitcoin sentiment and outlook for 2024.
Unchained, a leading bitcoin financial services provider based in Austin, Texas, published the report today with findings from a survey of U.S. investors. Chief among them is that one in four Americans and 55% of investors surveyed—defined by Unchained as having at least one investment account—report owning bitcoin.
It also found 95% of this group say they would buy or would strongly consider buying more of it in 2024. Of the 45% of respondents who do not own bitcoin, nearly half say they would strongly consider buying it in 2024.
“U.S. investors are eager to gain or expand bitcoin exposure—especially through tax-advantaged vehicles.”
Unchained’s Joe Kelly
While nearly half of U.S. bitcoin owners report already having BTC in their retirement account, an additional third (35%) say they would consider adding it to their 401(k), IRA, or other plan in 2024. Among non-bitcoin owners who are open to investing in the asset, 23% say they would consider adding BTC to their retirement account next year.
“At Unchained, we are seeing an influx of bitcoin newcomers who now understand that the asset has longevity. As reflected in both Unchained’s survey results and the activity of our clients, U.S. investors are eager to gain or expand bitcoin exposure—especially through tax-advantaged vehicles,” said Joe Kelly, co-founder and CEO of Unchained, who went on to mention his company’s own bitcoin IRA as an example.
Regulation is poised to be the top catalyst for both bitcoin owners and non-owners in the year ahead. When asked which factor is most likely to make them buy or strongly consider buying bitcoin in 2024, 42% of BTC owners and 35% of non-owners said increased U.S. regulatory clarity around digital assets. Other popular factors include:
- SEC approval of a bitcoin spot ETF—29% of BTC owners; 13% of non-owners
- US economic recession—18% of BTC owners; 12% of non-owners
- Guidance from a financial advisor—6% of BTC owners; 26% of non-owners
Notably, U.S. investors are largely optimistic about bitcoin’s future performance, regardless of whether they own the asset. Most (79%) expect BTC to eventually pass its all-time high of $69,000, despite the asset’s price being down over 50% from this during the survey period (BTC’s price during the survey ranged between $33,610-$34,977, according to CoinGecko).
Much of this speculation is based on widespread predictions that the SEC will soon approve the first American exchange-traded fund to directly hold Bitcoin.
BTC was up about 9% in November 2023, opening the month at $34,656.40 and closing November at $37,771.40. That made it the first “green” 11th month of the year for bitcoin since 2020. In November 2021 and 2022, Bitcoin fell 7.1% and 16.2%, respectively, per data from CoinGlass.
Over half (55%) of investors in the Unchained survey predict BTC will reach a new all-time high in 2024, with 28% believing it will be H1 and 26% saying H2 2024. Further, one-third of investors (34%) think BTC will outperform cash, gold, and the S&P 500 in 2024.
Read the full report on Unchained’s survey of U.S. investor bitcoin sentiment and outlook for 2024 here.
SEE ALSO:
• Bitcoin ETF Approval Draws Closer with Grayscale Court Win Over SEC
• BlackRock Files for Spot Ethereum ETF