"PSYCHOLOGICAL FACTORS AND CRYPTOCURRENCY INVESTMENT DECISIONS: A MEDIATED ANALYSIS OF ATTITUDES IN MILLENNIAL INVESTORS IN BATAM"

Abstrak

Purpose: This study aims to analyze the influence of overconfidence, financial literacy, experience, herding, and attitude on cryptocurrency investment decisions  in the millennial generation in Batam. Method: A quantitative approach was used through an online survey of 220 respondents selected by purposive sampling technique. The data were analyzed using the Partial Least Squares Structural Equation Modeling (PLS-SEM) method to test the complex relationships between variables without assuming the normality of the data. Result: The findings show that only overconfidence and attitude have a significant effect on investment decisions. Attitude has been proven to be a mediating variable that links overconfidence to investment decisions. Although financial literacy affects attitude formation, it does not have a direct effect on final decisions. Meanwhile, experience and herding do not have a significant influence on either attitudes or investment decisions directly. Practical Implications: This study contributes to the stability of the digital financial market by emphasizing the importance of forming rational investment attitudes to mitigate the risk of volatility due to psychological bias. The results support the creation of a healthy digital economy ecosystem and quality financial inclusion for national economic resilience. Originality/Value: The originality of the research lies in the integrative testing of financial behavior models in the context of the Indonesian crypto market post-regulation 2024. This study proves that attitude mediation is more crucial than mere technical knowledge in bridging psychological bias into real investment actions.