Data from the Goldman Sachs report shows that bitcoin outperformed all capital markets in 2021. Bitcoin saw a 60% return over the year, along with a 55% gain in crude oil.
As reported by Goldman Sachs, bitcoin has been the best performing asset for another year. data shows that The cryptocurrency made a strong return of 60% over the year, while the next top-performing crude was up 55%. The S&P 500, often compared to bitcoin, saw a 29% increase, while the top 5 were completed by Russell 1000 Growth and the Nasdaq at 28%.
Performance is another feather in the cap for bitcoin, which for many years was dismissed by critics. 2020 and 2021 have significantly changed from that sentiment, with many established companies and investors jumping into the market. Bitcoin’s performance in 2021 reflects that change.
The biggest tech stocks – Facebook, Apple, Amazon, Microsoft and Google – saw a return of 37%. It is strong, but still pale in comparison to bitcoin.
Meanwhile, the luster of gold seems to be decreasing a bit. The precious metal saw a return of just 4% in 2021, which may have upset prominent bitcoin critic Peter Schiff. The younger generation in particular is moving away from gold and bitcoin, often referred to as digital gold.
What’s in 2022 for Bitcoin?
The next few years could be even more critical for bitcoin, as adoption rates rise and countries create regulation. 2022 is set to be an exciting one for the asset class in general, which has established itself in the public consciousness through NFTs and DeFi.
As the market leader, bitcoin will be one of the first assets most people invest in. Exchanges and institutions are working on comprehensive solutions to make investing easier, and this could have a strong positive impact on bitcoin.
Government regulation will be a deterrent for bitcoin, but it seems likely that most countries will allow the asset – though not as legal tender, like El Salvador did. With regulatory uncertainty removed, bitcoin could experience very strong growth in 2022, resulting in another year of the cryptocurrency outperforming other capital markets.
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