tl;dr
A majority of Gen Z crypto traders increasingly use AI to guide their trading, resulting in 47% fewer panic-sell events compared to manual traders. Sixty-seven percent of users aged 18 to 27 employed AI tools in the past 90 days, using them selectively during market volatility. Gen Z traders rely on...
A growing majority of Gen Z crypto traders are increasingly turning to artificial intelligence (AI) to guide their trading strategies, resulting in a notable decrease in panic selling. According to a July 24 report from MEXC Research analyzing over 780,000 Gen Z trading accounts during Q2, 67% of users aged 18 to 27 employed at least one AI-powered bot or strategy in the past 90 days. Those utilizing AI tools experienced 47% fewer panic-sell events in volatile markets compared to manual traders.
Gen Z’s relationship with AI is tactical and selective rather than passive. On average, they use AI tools 11.4 days per month—more than double the usage rate of traders over 30—and represent 60% of all AI bot activations on the exchange. However, they rarely leave bots running continuously, activating them primarily during periods of market volatility or news spikes (73%) and deactivating them during stable, low-volume periods. This behavior suggests a fluid, condition-based use of automation, where AI executes trades during emotionally challenging times while users retain overall control. Furthermore, Gen Z checks AI-generated signals 2.4 times more than traditional indicators, indicating a strong reliance on machine output during fast-moving markets.
Beyond convenience, AI serves as a robust risk-management tool for Gen Z traders. They are 1.9 times less likely to make reactive trades within the first three minutes of major market events, a critical period prone to costly errors. They also show a 2.4 times greater tendency to use structured stop-loss and take-profit rules, illustrating how automation helps enforce strict trading boundaries rather than just identifying entry points.
Generational contrasts emerge clearly in the data. Millennials tend to maintain manual control, favoring analytical workflows that involve charts and reports and viewing AI as a supplementary tool. Only 22% of millennials and 7% of Gen X activate AI during high-volatility windows, compared with Gen Z’s 73%. This suggests that while older generations seek persistent control, Gen Z’s AI use is dynamic and stress-responsive, reflecting behavioral patterns seen in gaming and social media.
MEXC projects a significant increase in AI adoption among Gen Z, estimating that by 2028, over 80% will rely on AI for full-cycle portfolio management, including dynamic rebalancing and tax automation. This trend mirrors broader market forecasts predicting the AI trading platform industry will reach nearly $70 billion by 2034, growing at more than 20% compounded annual growth from 2025 to 2034.