For years, buying and owning a home has been considered a reliable way to build wealth and secure one’s financial future. However, with rising mortgage rates and stagnant housing markets, many are now questioning whether this traditional path is still viable.
According to recent data, the average home in the US is selling for 1.8% below its asking price, with some listings remaining unsold for over two months. In Florida, homes are selling at discounts of up to 5% below their listed prices.
Meanwhile, Bitcoin has been gaining popularity as an attractive alternative investment opportunity. Its total supply is capped at 21 million, making it a scarce and valuable asset. Institutional investors have been driving demand, pushing the price up by over 83% in the past year.
The housing market slowdown is due to high mortgage rates, inflated home prices, and declining liquidity. In contrast, Bitcoin’s supply is not affected by debt cycles or market fluctuations, making it an attractive store of value.
The approval of spot Bitcoin ETFs has triggered a surge in institutional inflows, with $40 billion in net inflows since their launch. This growth is driven by surging demand from institutions and long-term holders, who dominate the supply.
Bitcoin exchange reserves have dropped to 2.5 million BTC, the lowest level in three years, indicating strong conviction among investors. Long-term holders hold 62% of all Bitcoin, highlighting deep investor commitment.
As the housing market struggles with liquidity issues and economic uncertainty lingers, many are turning to alternative investments like Bitcoin. Younger generations, in particular, prefer financial flexibility and mobility over homeownership, seeing traditional systems as slow and outdated.
While real estate still holds value as a hedge against inflation, the inefficiencies of the housing market combined with Bitcoin’s growing institutional acceptance are reshaping investment preferences. The question now is how quickly investors will adjust to this new reality.
Source: https://crypto.news/home-sales-slow-bitcoin-demand-surges