US Crypto Adoption Sees a Revival, with Bitcoin Remaining the Dominant Player, According to Deutsche Bank

A recent retail survey conducted by Deutsche Bank, spanning 3,400 consumers across the US, UK, and EU, reveals that crypto adoption in the US has experienced a resurgence, with participation rates recovering to 12% in March from a February low of 7%, thereby returning to levels last seen in July 2025. The report notes that adoption rates have not exceeded 14% in the survey's history, which dates back to 2023. Furthermore, bitcoin exchange-traded funds (ETFs) witnessed a significant influx of $1.3 billion in net inflows in March, signaling a renewed demand from institutional investors after a sluggish start to the year. Analysts Marion Laboure and Camilla Siazon observed in their report that US crypto adoption rates have recovered in March, following a steady decline since July 2025. The crypto market has shown signs of stabilization after a volatile start to 2026, with last month marking a tentative rebound driven by renewed institutional demand and geopolitical tailwinds. Bitcoin prices rose by roughly 9% in March, recovering toward the $70,000 level after earlier declines, though they remain down more than 20% year-to-date and well below their late-2025 peak above $120,000. More recently, prices have pushed higher into the mid-$70,000s, briefly topping $77,000 amid easing geopolitical tensions and improving risk sentiment. However, the recovery has been uneven, with prices repeatedly testing resistance around the mid-$70,000 range. Analysts point to this level as a key breakout threshold for further upside, while macro pressures, including higher-for-longer interest rates and energy-driven inflation, continue to weigh on crypto alongside broader risk assets. In other regions, trends were more muted, with UK adoption dipping slightly to 9% but remaining structurally higher over the long term, and Europe holding steady at 7%. Despite the rebound in participation, consumer sentiment on bitcoin's price outlook is subdued, with a majority of respondents across regions expecting bitcoin to trade lower than current levels near $75,000 by the end of 2026. In the US, 19% of respondents see prices landing between $20,000 and $60,000, while 13% expect a drop below $20,000, a level last seen in early 2023. Only a small minority, around 3% in the US, anticipate a return to record highs near $120,000. Bitcoin remains firmly at the center of the crypto market, with roughly 70% of crypto investors across regions holding bitcoin, far exceeding ownership of stablecoins such as USDT or USDC. It is also the top choice for future investment, cited by 69% of US respondents. Traditional assets continue to compete for investor attention, with gold and the S&P 500 remaining favored overall, though the gap has narrowed in the US, where preferences are more evenly split across the three. Demographically, crypto adoption remains skewed toward men and higher-income households, though the report noted gradual gains among women and lower-income investors. Younger consumers, particularly in the UK, showed the fastest growth in participation.