Medha Singh and Lisa Pauline Mattackal

(Reuters).’s known to panic when Elon Musk posts a broken heart emoji. It seems like we are on the brink of World War 3 so why doesn’t it fly off the handle?

This could partly be due to new HODLers.

The rise of young retail investors who are banking on bitcoin to be a long-term investment rather than for immediate gains is a testament to the true faith of those true believers. This name came years ago when a trader mispelled “hold”, on an internet forum.

According to market watchers, this trend may help stabilize the crypto market’s notoriously volatile market. It could also provide a long term floor. Market watchers point out that bitcoin has risen about 5% since the Russian invasion.

Multi-asset retail investing platform eToro found that people aged 18 and 34 are more inclined to invest in cryptocurrency than others. 66% of those in that age group own bitcoins or other digital currencies. It’s an increase from the 46% recorded in July.

More tellingly, over a third said that crypto was a “transformative asset class” and they believe in its long-term potential.

Callie Cox of eToro U.S. investments described these individuals as “HODLers, in a nutshell”.

“People who believe that the technology is possible, will be less likely sell when there are scary headlines,” she stated, noting that future crypto price drops could see retail investors buy more.

The eToro survey of 8,000 investors is only a snapshot. However, it shows that the results are consistent with those from other platforms. According to Crypto Exchange Currency.com, 31% are between the ages of 23-29 years and 20% are between 18- and 20. A Busha exchange, on the other hand, claims its average trader is between 18 and 40.

Larissa Bundziak is a great example of a young HODLer.

“I do not believe that crypto can be a quick way to get rich. “That’s not all the story,” stated the Ukrainian public relations specialist, who was born in Ukraine and is currently based in the United States.

Her bitcoin investments plummeted from $19,000 to just $3,000 in January 2017, but she said that she kept putting money in and it suddenly jumped to $60,000! She will continue to increase her bitcoin holdings.

She stated that it was about the freedom to send money as often and how and to whomever I wish to.

EXPECT the Unexpected

Last year, small investors drove GameStop (NYSE) to new heights and dispelled any doubts about the power of retail traders as a contrarian force within financial markets.

A growing number of bitcoin investors could be a stabilizing factor for long-term long-term investors who are also increasing their Bitcoin stashes.

Initial bitcoin prices dropped by 14%, to approximately $34,000 after the Russian forces invaded Ukraine. Since then, however, the price has increased 15%.

It seems reasonable for an asset with unpredictable movements over time. However, bitcoin taught us to expect the unexpected.

Musk has a special power. Bitcoin dropped 35% last May after Musk stated that Tesla (NASDAQ) wouldn’t accept cryptocurrency for car purchase. It fell again in June when he posted #Bitcoin, a broken heart emoji with a photo of a couple talking about a divorce.

PROFILE A CRYPTO TRADER

A second demographic trend in the crypto market is becoming evident: traders skew more male.

According to eToro, 38% (versus 19%) of crypto-investors are male.

U.S. brokerage Robinhood (NASDAQ) conducted a survey and found that 41% women invested in crypto but never had or would. This compares to 24% for male investors.

“The gender investing competence gap is a real thing and it remains even through there was a lot of interest and retail involvement in the crypto market last year,” said Christine Wood, chief operating  officer of Robinhood’s crypto business.  

Market players believe there could be many reasons behind the male skew.

“Crypto is at the intersection of finance and technology, which are in themselves male-dominated industries,” said Ophelia Snyder, co-founder of Swiss-based provider of crypto products 21Shares & Amun Tokens.