The survey, which included insights from over 4,000 traders, unveiled a cautious sentiment towards digital assets in the trading community. According to the study, 78% of the participants expressed no intention to dabble in cryptocurrency trading within the next five years. 

The reluctance underscores the scepticism about the long-term stability of digital currencies within trading circles. For example, when looking at Bitcoin, the annualised volatility rate was 81% in 2021, versus a rate of 17% for the 30 largest publicly traded companies in the US during the same period. Notably, this was before the start of the crypto bear market in 2022. 

The survey also looked at the evolving perception of blockchain technology among institutional leaders. While blockchain was once considered a transformative force in the trading landscape, the perception of its impact has dwindled significantly.

In 2024, just 7% of respondents see blockchain as an influential technology, compared to 25% in 2022. In contrast, AI and machine learning emerged as frontrunners in shaping the future of trading, with 61% of participants saying they think these technologies will have a profound impact over the next three years. 

Despite the apprehension around cryptocurrencies, the survey did note a modest increase in the number of active institutional traders in the digital currency sector. As it stands, 9% of participants are involved in crypto trading, representing an increase from 8% the previous year. In addition, 12% of traders expressed their intention to enter the markets within the next five years. 

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The slight resurgence of interest in digital assets can be attributed in part to the recent entry of major financial institutions – like BlackRock, Fidelity, and WisdomTree – into the sector, following the approval of spot bitcoin exchange-traded funds (ETFs) in the United States. 

All of this has led to the price of bitcoin to surge nearly 95% over the past twelve months. 

Looking ahead, the survey noted that the largest expected drivers to influence the broader market dynamics in the upcoming year would be inflation (27%), the U.S. election (20%), and recession risk (18%).