Three weeks ago, when global markets collapsed, Bitcoin’s price plummeted by more than 40% in just a few days. Given this collapse, critics mocked the cryptocurrency for its apparent inability to keep its value in a crisis. In response, analysts are now providing data showing that Bitcoin is actually a greater security risk than stocks and gold.
Analyst Willy Woo has released a chart that compares the performance of the S&P 500, gold, and Bitcoin over the past five years. While the BTC’s remarkable rise in value is known during this period, this comparison shows that the recent depreciation of the cryptocurrency during this period is far less significant.
Bitcoin is far less profitable
Critics may point out that recent investments in Bitcoin have been far less profitable. However, the fact remains that consistently investing in Bitcoin has been a smart move in recent years. Above all, the recent drop in Bitcoin prices was no more painful than that of gold or stocks. The U.S. stock market has now returned to 2015 levels, while Bitcoin is exponentially more valuable.
Sylvain Saurel writes on medium and compares Bitcoin to the stock market and gold in the past twelve months. In its analysis, Bitcoin again proves to be by far the best investment choice.