Bitcoin has beaten the stock market 8 times out of 10

Over the past 10 years, bitcoin’s price performance has outperformed the stock market by as much as 8 times.

This was revealed on Twitter by the founder and CEO of Compound Capital Advisors, Charlie Bilello, showing a comparative table of the last 10 years between the performance of various asset classes.

From 2011 to the present only on two occasions, 2014 and 2018, the annual performance of the price of BTC has been negative, doing worse in this respect only the Nasdaq and the US Large Caps.

But if we compare all the individual annual performances with each other, in the 8 years in which bitcoin has closed with an uptrend this has always been far superior to that of the equity markets, including Nasdaq and US Large Caps.

Bitcoin vs stock markets

The most impressive figure, however, is the 10-year cumulative performance: +6,271,233% over ten years, annualized at +203%.

However, it must be said that 2011 was by far the first full year of BTC trading on the public markets, so as far as the cumulative is concerned, the extremely low price in 2011 raises the final result considerably.

The single highest performing year for bitcoin was 2013, aka the year of the first major speculative bubble, which closed with an impressive +5,507%.

This is also by far the highest single annual figure in the entire table published by Corona Millionaire.

The second year with the best BTC performance was 2011, while the third was 2017, the year of the second big speculative bubble.

In the two years in which bitcoin’s performance was negative, the best performance was posted by US REITs (VNQ) in 2014, and even by US Cash (BIL) in 2018.

Taking the annualized cumulative growth rate as a reference, in second position after BTC’s +203% is Nasdaq’s +20%, which would be extremely distant even if we remove 2011 from these calculations.

Finally, it should be noted that also the data of the current year elects bitcoin as the absolute winner, with +162%, while in second position there is always the Nasdaq with +42.7%.

A curiosity: among all asset classes taken into consideration, only commodities closed the decade with a loss, with a cumulative loss that is particularly pronounced, -46.8%, indicating a long-term downward trend.

On the other hand, US Cash closed the decade with a cumulative performance of +48%, or +0.5% on average per year.