{"id":448074,"date":"2020-10-28T01:00:43","date_gmt":"2020-10-28T01:00:43","guid":{"rendered":"https:\/\/wncen.com\/?p=448074"},"modified":"2024-06-11T14:07:39","modified_gmt":"2024-06-11T14:07:39","slug":"hindsight-in-2020-bitcoin-brings-investors-16x-returns-over-the-sp-500","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/hindsight-in-2020-bitcoin-brings-investors-16x-returns-over-the-sp-500\/","title":{"rendered":"Hindsight In 2020: Bitcoin Brings Investors 16x Returns Over The S&P 500"},"content":{"rendered":"
Bitcoin has for several months now, captured the crown for 2020 as the most profitable mainstream asset of the year<\/a>. Whatever the reason is behind the unstoppable momentum, the recent divergence between crypto and stocks, and even precious metals, has the leading cryptocurrency by market cap reaching over 16x times the return of the S&P 500, and nearly four times the return of gold.<\/p>\n 2020 has been a wild ride of a year. Missle strikes in Iran and tensions between the US and China to start the year seem trivial at this point, following what transpired from Q2 and beyond.<\/p>\n Crypto and the stock market was setting new highs for 2020 when a pandemic swept the globe that disrupted the economy worldwide<\/a>. Stimulus money designed to sustain markets, the economy, and to keep citizens employed, has only further worsened economic conditions.<\/p>\n The conditions that are causing damage to the dollar’s dominance, are an enormous benefit to Bitcoin thanks to its hard-capped supply and digitally scarce design.<\/p>\n Related Reading | Bitcoin Could Be Just One Week Away From A New Monthly All-Time High Close<\/a><\/strong><\/em><\/p>\n As the dollar supply inflates and its buying power drops, Bitcoin price will rise simpy due to the dollar’s weakness. Combine a perfect storm of corporations rushing to buy BTC<\/a> to protect buying power and wealth with the falling dollar, and there’s a recipe for a new bull run brewing.<\/p>\n Whether or not it is investors preparing for the next big crypto market bull run, or simply due to Bitcoin’s deflationary design, the asset has benefitted enormously in the post-pandemic world.<\/p>\n <\/p>\n After the news that PayPal would be supporting cryptocurrencies<\/a>, Bitcoin surged by over $1,000 in a single day taking the year-to-date returns for the asset to over 90% currently.<\/p>\n The leading cryptocurrency by market cap has nearly outperformed gold by four times over, the original safe haven asset investors turn to to avoid inflation or economic distress. Gold even set a new record high this year, yet couldn’t beat Bitcoin in ROI.<\/p>\n Related Reading | Paul Tudor Jones: Bitcoin Is In First Inning, Like Investing In Apple Or Google Early<\/a><\/strong><\/em><\/p>\nBitcoin Reaches 90% ROI During Rockiest Year On Record<\/h2>\n
Bitcoin year-to-date returns next to the S&P 500 and gold | Source: BTCUSD on TradingView.com<\/a><\/pre>\n
Top Cryptocurrency Beats Gold ROI By Four-Fold, S&P 500 By 16x<\/h2>\n