Cryptocurrencies and Anxiety – Any Problems?

Cryptocurrencies and anxiety: Is there a relationship? Cryptocurrencies have been the subject of numerous studies. A recent study from The Sleep Judge, a site dedicated to reviewing sleep products, found that over half of all respondents were concerned about crypto and their ability to sleep well. The study also revealed that many individuals suffered from relationship problems and insomnia caused by their newfound wealth. According to the study, the most affected group was Generation X, born between 1965 and 1980.

The volatility in cryptocurrencies has fueled the addictive behavior of investors. This behavior is not typical in regular stock market trading. Instead, the high-stakes nature of cryptocurrency trading releases endorphins, which are thought to be mood-enhancing substances. These feelings are often associated with depression. A study conducted by Patty Fiore, a clinical psychologist who specializes in EMDR and cognitive-behavioral therapy, found that a higher score on the Mood Disorder Questionnaire (MDQ) correlated with a higher Reward Dependence (RD) in Temperament and Character Inventory (TCI).

Moreover, the high volatility of crypto leads to increased sensitivity to rewarding experiences, which is also associated with higher RD in TCI. It is believed that cryptocurrency trading triggers the release of endorphins, which act as an emotional trigger and increase addictive behavior. In addition, these results suggest that the rise of cryptocurrencies has exacerbated mental health problems among investors. While the overall effect of these findings is unknown, they indicate the need for further research and evaluation.

As a result, the volatile nature of cryptocurrencies contributes to increased anxiety levels in investors. However, these feelings are healthy and do not reflect the actual state of the situation. As such, the positive effects of investing in cryptocurrencies must be taken seriously, and the positive side of this phenomenon should not be ignored. Therefore, investors should look into their psychology and seek professional help if they feel anxious about the market. Several different treatment options are available for those who suffer from crypto-related symptoms.

Cryptocurrencies and Anxiety – FOMO

Cryptocurrencies and anxiety: Bitcoin anxiety is common. A higher FOMO (fear of missing out) score on the Fear of Missing Out Scale indicates that a person is more sensitive to rewarding experiences and is more likely to experience stress and anxiety. Consequently, a higher FoMO score is also related to a higher RD score in TCI. On the other hand, a higher RD score is associated with a lower trait anxiety score. The latter two factors and the high FoMO scores are associated with a lower Harm Avoidance (HA) tendency.

Some people are more sensitive to the positive aspects of cryptocurrencies than others. For example, investors’ high FoMO scores are linked to higher RD in TCI. These investors have high impulsivity. Thus, the heightened sensitivity of this market can lead to compulsive behaviors and anxiety. This can also contribute to the emergence of mental health disorders.

Further research on this phenomenon is needed. Meanwhile, investors should seek help from a mental health professional if they feel anxious about cryptocurrencies.

Cryptocurrencies and anxiety – Take home message

1. Fear of missing out (FoMO) is a psychological state and behavior that results from and leads to anxiety about missing out on opportunities that others may be taking part in or enjoying. FOMO can drive individuals to compulsively check their phones and social media accounts for messages, texts, likes, etc., despite knowing that they should be doing other things.
2. FOMO is related to the personality trait of neuroticism in terms of high stress and negative affectivity.
3. People who score highly in neurotic introversion (N-Int) tend to be more concerned with the possibility of missing out.
4. Higher FoMO scores are linked with higher RD in the Temperament and Character Inventory (TCI).
5. People who score highly in HA tend to be more concerned with avoiding harm or negative experiences than those who score low.
6. Higher HA tendency indicates that the person is more likely to be overly cautious in certain activities.
7. Humans’ responses to changes in their environment are divided into novelty seeking and harm avoidance.
8. Novelty-seeking behavior may lead people to invest in cryptocurrencies due to novelty and, therefore, volatility.
9. Lower HA tendency indicates that the person is less likely to be overly cautious in certain activities.
10. People who score lower in HA tend to be more active and involved in the community.
11. Higher NS is associated with a preference for variety, change, and intense experiences. It may explain why people who score high on NS are more likely to invest in cryptocurrencies.