67% of Gen Z Crypto Traders Use AI, Reducing Panic Sells by 47%: MEXC Research

A growing majority of Gen Z cryptocurrency traders are integrating artificial intelligence (AI) into their trading strategies, significantly reducing instances of panic selling during market turbulence. According to a July 24 report by MEXC Research, which analyzed over 780,000 Gen Z trading accounts on the platform in the second quarter, 67% of users aged 18 to 27 deployed at least one AI-powered bot or strategy within the past 90 days [1]. Traders utilizing these tools recorded 47% fewer panic-sell incidents during periods of market stress compared to those who traded manually [1].

The engagement pattern of Gen Z with AI tools reflects a dynamic, conditional approach rather than passive reliance. The cohort averaged 11.4 days per month using AI-driven strategies—more than double the usage rate of traders over 30—and accounted for 60% of all AI bot activations on the exchange [1]. However, 73% of Gen Z users activated these tools selectively, turning them on during high-volatility or news-driven events and switching them off in low-volume, sideways markets. This behavior aligns with 58% of Gen Z AI interactions occurring during elevated readings on MEXC’s internal volatility index [1].

The strategic deployment of AI appears to function as both a risk-management mechanism and a behavioral safeguard. Gen Z traders using bots were 1.9 times less likely to reactively trade in the critical first three minutes of major market events—a period MEXC identifies as prone to costly errors—and 2.4 times more likely to implement structured stop-loss and take-profit rules [1]. Unlike older generations, who treat AI as a supplementary tool, Gen Z appears to prioritize machine-generated signals as primary decision-making inputs in fast-moving markets. They also check AI outputs 2.4 times more frequently than traditional indicators, indicating a hands-on yet automated approach [1].

Cross-generational comparisons highlight stark differences in AI adoption and usage. While 73% of Gen Z users activated AI during volatile windows, only 22% of millennials and 7% of Gen X traders did so [1]. Older generations continue to favor thesis-driven strategies centered on charts and reports, whereas Gen Z’s behavior mirrors patterns seen in gaming and social platforms, where autonomy is toggled based on stress levels and attention bandwidth [1]. MEXC projects that by 2028, over 80% of Gen Z traders will rely on AI for full-cycle portfolio management, including dynamic rebalancing and tax automation [1].

The findings underscore a broader shift in how younger traders navigate crypto markets. By leveraging AI to automate emotional decision-making and enforce predefined boundaries, Gen Z is redefining risk mitigation and strategy execution. This trend aligns with market forecasts predicting the AI trading platform industry to reach nearly $70 billion by 2034, growing at a compound annual rate of over 20% from 2025 to 2034 [1]. As platforms like MEXC refine their AI tools, the line between human intuition and machine efficiency in trading may continue to blur, reshaping the landscape for future market participants.

Source: [1] [MEXC finds that 67% of Gen Z crypto traders use AI tools, resulting in fewer panic sells] [https://cryptoslate.com/mexc-finds-that-67-of-gen-z-crypto-traders-use-ai-tools-resulting-in-fewer-panic-sells/]