Bitcoin is still the top investment asset of the moment, even after dealing with pesky rumors of more stringent regulations from authorities.
Bitcoin’s performance is definitely the best one when compared to other popular assets, like gold and the S&P 500 Index.
The newest of these comparisons was highlighted by the US investor and CEO of DoubleLine Capital, Jeffrey Gundlach, who observed that the virtual currency had outperformed gold and the S&P 500 over the last 12 months.
According to Gundlach, the price of gold has decreased by as much as 11 percent in the last twelve months, and the S&P 500 has seen a corresponding increase of 27 percent compared to BTC, which had a growth of 467 percent in the last twelve months. This number is hard to ignore and is crucial to investors, especially those who are still discussing whether to invest in BTC.
Is the Growth of BTC Sustainable?
The lone benefit of gold and the S&P 500 over BTC now is that they have withstood the test of time. BTC is just over ten years old, with the recent support from institutional and corporate investors; it’s time that Bitcoin needs in order to persuade everyone that it’s the ideal asset to take care of a turbulent economic and worldwide financial crisis triggered by the Covid-19 pandemic.
Gundlach also explained that BTC’s path to new highs could also come with several price corrections. Gundlach highlighted that great dispersions frequently precede major reversals, an insinuation that BTC can carry on to see price reversals as it moves towards maturity.
Although Gundlach’s stance is worth considering, lots of BTC supporters agree that the virtual currency is only starting its dominance and that as more people begin to realize its unique capabilities and possibilities, its future worth, marked by increased valuation, will soon be completely unlocked.