so far all of my customers have chosen PayPal over crypto.
Every time that I've offered Bitcoin as the only payment method available I've ended up losing the customer.
Is this normal or am I doing it wrong?
It is normal OP in my opinion, don't get discouraged or begin to overthink the situation...as you mentioned that you just started, you haven't met all your customers yet, you are yet to met those who their preferred mode of payment is crypto.
There are reasons why the customers you've had currently choose PayPal option for payment;
- It is possible that they don't have crypto or are not conversant using crypto as a mode of payment. Many still view cryptocurrency as something strictly for investment (an investment scheme).