High-Value Investors See Downturns as Opportunities: The Dividing Line Between Panic Sellers and Holders in Crypto Unrealized Losses

Difference between those who "sell immediately" and "endure" when faced with unrealized losses? Behavioral survey of 1,226 investors | Clabo, Inc.

Clabo, Inc. (Headquarters: Minato-ku, Tokyo; Representative Director: Ikuma Ueno) conducted a "Fact-finding Survey on the Impact on Investment Behavior and Mental Health during Unrealized Losses" targeting 1,226 people with experience investing in crypto assets.

As a result of the survey, it became clear that the actions investors take when faced with unrealized losses are most influenced not by the amount of investment, but by the "years of experience" in the market and the presence or absence of "mental management."

Among the beginner group with less than half a year of investment experience, panic selling and decision paralysis were prominent, with 30.3% saying they "sold immediately" out of frustration over asset depreciation. On the other hand, a decisive gap was highlighted among mid-level and veteran investors with 3 or more years of experience, with more than half (about 48%) answering that they "continued to hold while monitoring the situation," maintaining a strategic wait-and-see approach.

This report details the evidence that a full 72.5% of the selling faction settles emotionally while harboring "strong anxiety and stress," as well as the active behavioral structure in which groups with an investment amount exceeding 200,000 yen view a decline as an opportunity to buy and move to "make additional purchases."

In the highly volatile crypto asset market, we will present objective data and a defensive mindset to step up and become a long-term winning investor without being swayed by temporary unrealized losses.

View the full version of the survey results

■ Survey Details

Tendency for investment amount to directly link to investment decisions during unrealized losses

Groups exceeding 200,000 yen take an active stance on additional purchases

Difference between those who "sell immediately" and "endure" when faced with unrealized losses? Behavioral survey of 1,226 investors | Clabo, Inc.

When unrealized losses occurred, the proportion of those selecting "additional purchases" increased significantly in the group with an investment amount exceeding 200,000 yen.

Approximately 36% of the group investing between 200,000 yen and less than 500,000 yen made additional purchases, which is nearly five times higher compared to the group investing less than 50,000 yen.

The larger the asset scale, the stronger the tendency to view a price drop as an excellent buying opportunity.

On the other hand, the group that calmly "continues to hold" exceeds 40%, indicating a stance of not reacting emotionally to temporary volatility.

This group is highly likely to have already accumulated a certain level of investment experience and can be said to be making calm decisions based on their own portfolio management.

The image of an investor has emerged who does not view unrealized losses merely as a risk, but incorporates them as a strategic step for future profit.

What is particularly noteworthy is that the answer "sold immediately," which leads to panic selling, remained at less than 10%.

Investors who have invested above a certain amount of funds tend to avoid easy panic selling while understanding the necessity of cutting losses.

For investors in the middle bracket and above, unrealized losses are interpreted not as a signal to withdraw, but as a phase to review strategy and adjust positions.

Those under 50,000 yen bipolarize into wait-and-see or immediate selling

Difference between those who "sell immediately" and "endure" when faced with unrealized losses? Behavioral survey of 1,226 investors | Clabo, Inc.

In the small-amount investor group with an investment of less than 50,000 yen, their behavior towards unrealized losses shows an extremely characteristic polarization.

Combining "continued to hold while monitoring the situation" and "did nothing in particular" reached approximately 67%, with the vast majority choosing to maintain the status quo.

This is inferred to be backed by the psychological leeway that, because it is a small amount, the loss amount is also limited, and leaving it alone will not hinder daily life.

On the other hand, about 18% of investors selected "sell immediately" the moment an unrealized loss appeared, which is the highest percentage across all investment amount brackets.

The structure of "panic selling," where beginners who start investing from a small amount face unexpected declines, fall into panic, and throw away their assets, has become clear.

Unstable investment behavior stands out, where the axis of judgment is unsettled, whether it is a calm wait-and-see or emotional immediate selling.

Also, the percentage of those taking proactive measures such as "making additional purchases" or "gathering information" is less than 10%, which is characterized by a lack of behavioral options.

It can be said that the smaller the investment amount, the easier it is to fall into a state close to "thought stoppage," where one has no choice but to passively watch the situation rather than actively respond to market changes.

For small investors, building a mindset during unrealized loss phases will be the key to dividing long-term results.

More than half of the group exceeding 1 million yen calmly continues to hold

Difference between those who "sell immediately" and "endure" when faced with unrealized losses? Behavioral survey of 1,226 investors | Clabo, Inc.

In the top tier where the investment amount exceeds 1 million yen, more than half, over 53%, answered that they "continued to hold while monitoring the situation."

For high-value investors, unrealized losses are a daily occurrence, backed by a solid mentality and fund management capabilities that are not swayed by short-term price movements.

Precisely because they move large amounts of funds, they do not change positions on temporary emotions