despite falling prices, young people still want to believe in cryptocurrencies

“I was disappointed, but that was to be expected. » At the beginning of June, stunned by the collapse of cryptocurrency prices, Anthony (the people quoted whose names do not appear wished to remain anonymous), a student in electronics-computer science, resolved, heartbroken , to sell those he held. “I lost half of my investment in the space of two days”, or 200 euros out of the 400 euros initially bet, laments the young man of 20 years. He is not the only one.

Bitcoin, whose price fell from 69,000 dollars (around 65,000 euros) in November 2021 to nearly 20,000 dollars in mid-June, continues its descent into hell, dragging with it the entire crypto-asset market, whose value fell below the $1 trillion mark. The platforms where these pseudo-currencies are exchanged have also plunged into turmoil: the American Coinbase announced on June 14 that it was cutting 18% of its workforce, Celsius, which managed valued assets to $12 billion in mid-May suspended withdrawals and transfers, while CoinFLEX on June 24 said it had suspended all fund withdrawals, citing “extreme market conditions”.

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Result: individuals who have placed their savings on these platforms are worried. Since the creation of bitcoin in 2008, and especially since 2016, the adoption of cryptocurrencies has grown exponentially, according to a study published in February by the consulting firm KPMG. First reserved for a circle of insiders, they then spread among institutional investors, then among the general public. Today, nearly one in twelve French people has one, and among them, young people are overrepresented: 46% of holders are under 35, while this age group represents only 25% of the population. “Technology, enthusiasm and accessibility promote adoption by young people”, analyzes Alexandre Stachchenko, director of blockchain and cryptocurrencies at KPMG France.

Warning from the Financial Markets Authority

The market collapse shattered the illusions of those who believed in the promises of endless upside for these cryptoassets. While some were cautious, others lost a lot, like Anthony. He discovered cryptos while talking with a friend: “It was reassuring to see that I was not alone in the delirium. » By the time he starts investing, in October 2021, he believes that bitcoin is already too expensive – its price was then above $40,000.

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