Canadian investors and advisors were skeptical about cryptocurrency in the second quarter of 2021, according to a new quarterly survey by Horizons ETF Management Inc.
Canadian investors and investment advisors are more bearish about cryptocurrency than any other measured asset class. As part of the survey, Canadian investors and investment advisors were asked to rate their feelings on the outlook of different asset classes as either bullish, neutral or bearish.
Half of investor respondents and 54 per cent of advisor respondents reported their feelings on the outlook of cryptocurrencies as bearish. In a first quarter sentiment survey, just 35 per cent of investors and 45 per cent of advisors had reported bearish feelings about cryptocurrencies.
These findings on investor sentiment correspond with the decline in price in the world’s best-known cryptocurrency. In March, Bitcoin’s value peaked above $76,000. At the time of publication, it’s being traded below $40,000.
The survey also found that Canadian investors and advisors were tepid about the outlook for domestic equities, which just 59 per cent of advisors and 53 per cent of investors described having bullish feelings about. In the previous survey, 73 per cent of advisors and 60 per cent of investors felt bullish about Canadian equities.
The most positive outlook of any asset class identified by respondents was domestic energy. While just 51 per cent of investors and 59 per cent of advisors had held a bullish view on Canadian energy in the previous quarter’s survey, 62 per cent of investors and 64 per cent of advisors reported feeling bullish about its future in the most recent survey.