When comparing the performance of a $1 outlay in Bitcoin 5 years ago with a $1 investment in gold, investors notice a much larger return on investment (ROI) with BTC. Purchasing $1 worth of Bitcoin five years ago when Bitcoin was valued at $1185 would be worth $32.32, now a 3132% increase. In comparison investing $1 in gold, which was valued at $1254, would be worth a total of $1.54 today, a 54% increase, meaning a $1 stake in BTC over the five years yields almost sixty times more than gold, according to WooBullCharts data. Over 12.4 years, the difference is substantial, with $1 invested in Bitcoin now worth $50,136,000, whereas the gold investment would be worth $1.83. The chart displays the performance of the two assets since October 6, 2009, with Bitcoin the yellow line on a gradual ascent and the price of gold being the dotted yellow line horizontally.
Bitcoin rebounds following dip
Bitcoin has rebounded after President Vladimir Putin’s order to invade Ukraine on February 24, which triggered an immediate sell-off in the crypto market. Geopolitical tensions had put an end to a robust Bitcoin rally that saw the cryptocurrency gain more than $10,000 in the first half of February. However, since then, late on February 24, Bitcoin began making a recovery following the announcement of sanctions against Russia by US President Joe Biden. Currently, Bitcoin is trading at $38,315, up 7.55% in the last 24 hours and down 6.13% in the previous week, according to CoinMarketCap statistics. Prominent crypto trading analyst Michael van de Poppe believe that the panic selling in the crypto market is now over, and risk assets like Bitcoin are going back up he said: Meanwhile, Bloomberg senior commodity strategist Mike McGlone considers this a ‘defining moment‘ for the digital asset.
Gold to hit $2,000 per ounce
Whatsmore McGlone believes that gold will reach $2,000 per ounce and that it’s way overdue for a breakout in the precious metals market. Notably, as a result of Russia’s invasion of Ukraine, the price of gold climbed to a 13-month high on February 24 before taking a dip later in the day. Due to the increased geopolitical tensions, gold is seen as a safe-haven asset by many market experts, and its price has risen in tandem with this view. With the escalation of hostilities between the two countries, there has been a surge in gold investments as a result. In the past 30 days alone, almost $1 trillion has been injected into the gold market. Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
