The new breed

Gazes

There have been various blogs, threads, etc about new collectors flush with money either from crypto profits or other technology driven profits.

Some discussion is that they are driving up the price of top pop type coins and once they leave the market the prices will retreat.  But why would we assume they will all leave? 

Crypto is often compared to digital gold.  Many collectors found numismatics by first being interested in bullion (that is what happened to me).   I would assume some of the crypto money collectors will have a similar experience and stick with collecting.    

We have seen new found money flow into art, sports memorabilia, etc and now coins.  I dont think we should assume it is destined to leave or that it is a bad thing.  Some will leave (like any other type of collectors) but many will stay for the same reasons we have stayed.

SeatedNut

It’s not just top pop type coins pretty much everything is on fire. Even the 1000-5000 dollar coins. Seated Dollars are my main focus and I have watched them explode over the last year and a half. Are the crypto guys causing that too?

Crypto

Crypto is often compared to gold

i agree 

Legend

Clearly, the crypto guys have totally disrupted the top of the market. They are buying like drunken sailors.

I do not think they are buying up coins below $25,000.00. That is pure supply and demand pressures and a hot stock market yielding big profits.

BustDMs

I found that during the Covid lockdown many closet collectors became reacquainted with their collections and are now active again.

The crypto buyers are playing with free money so they may be more “loose” with it.

The population of crypto collectors will wax and wane as has been the same with other entrants to the hobby- state quarter collectors come to mind at a vastly different price point. The ones who leave will eventually be replaced from another yet unknown source.

The only constant is change…………enjoy your ride.

Realone

Yes crypto has made many newly made millionaires
But we cannot forget the following facts/circumstances now occurring:
Inflation has rocketed, we have not had inflation in many years
real estate is still going up and is expected to rise more albeit possibly at a slower rate
antiques such as paintings and antiquities have risen in price
sports cars & sports sedans and luxury vehicles have risen in price
all large ticket items have risen in price
Interest rates on mortgages are just starting to rise and are expected to rise even more

So why shouldn't coins partake in the dramatic rise of assets

ptolemyII

Legend said:

Clearly, the crypto guys have totally disrupted the top of the market. They are buying like drunken sailors.

I do not think they are buying up coins below $25,000.00. That is pure supply and demand pressures and a hot stock market yielding big profits.

You guys realize that most crypto billionaires are members of the Illuminati, right.
I feel very badly for all the non-crypto billionaires.
Warren Buffett just called and said he wanted to sell Coca-Cola and buy Mt. Goxx.

Crypto billionaires buy NFTs.
Non cogito ergo POOF !

Just remember I told you Andy Warhol wouldn't sell either.

pedzola

For what it's worth, here is my own short story of buying more and paying more through the pandemic:

1) I have made zero crypto dollars and in fact my investments have returned poorly over the past 2 years (I must be REALLY bad at this). 

2) I was starting to grow my collection and dip my toes into the deeper end of the collecting pool circa 2019.   When the pandemic rolled around my first couple of purchases were mostly intended to support my local shop as they were impacted by the lockdown.  

When prices started rising I became more motivated by a feeling that I should probably accelerate purchases (fomo).  Coupled with remote work, less money spent on gas and eating out, etc, felt like I had more free time and a few more bucks to spend.

 I also started years ago accumulating bullion - with high metal prices I traded in virtually all of it towards rare coins since March 2020.  

So I would just say you probably cant generalize.  A variety of drivers are at play.  Maybe the high end of the market is impacted by people w/windfall crypto profits.  But for the <$10k coins I would bet there are more people like me in there.  

Aercus

The new blood is coming in because people were locked in their homes for a year and needed to stay busy.  Thanks to the internet, a lot of them found coin collecting.  This is the biggest collecting boom since the 50s.  Yes a lot will leave at some point, but some will stay and the market will stay stronger than it was in the 2010s.  With the advent of high res photos easily shared, eye appeal is more important than ever.

I will also note, when I was growing up, collecting was definitely "uncool" among my peers.  This has changed significantly with the younger generations now.  Having a passion like numismatics is much more acceptable.

Bidask

Aercus said:

The new blood is coming in because people were locked in their homes for a year and needed to stay busy.  Thanks to the internet, a lot of them found coin collecting.  This is the biggest collecting boom since the 50s.  Yes a lot will leave at some point, but some will stay and the market will stay stronger than it was in the 2010s.  With the advent of high res photos easily shared, eye appeal is more important than ever.

I will also note, when I was growing up, collecting was definitely "uncool" among my peers.  This has changed significantly with the younger generations now.  Having a passion like numismatics is much more acceptable.

Multiply this comment for collectors from many other countries collecting world coins .

Legend

A powerful stock market and the crypto thing seems to be where the new big money is from.

Crypto

I personally think it is more PPE loans than crypto bros ( they have bastardized my online name) but there is certainly a lot of new money out there chasing stuff 

Wabbit

Whomever is buying everything, bless them all. I have unloaded hundreds of generic, raw, or plain old junk, for WAY more than I paid for it. 10X more on many raw coins.

Pyrite

The "Crypto Guys" could easily become Farouks.
Coins fill a niche that the rich always gravitate to. "PORTABILITY" If some become fascinated with coins, I'd think they would continue to add to their holdings.

If they also do any research, some of them might realize that the REAL gold rush area was SanFrancisco and not Carson City.
(That's if they also become ...collectors.)