Data from a Goldman Sachs report shows that Bitcoin outperformed all other financial markets in the year 2021. BTC indeed posted a 60% return for the year, with crude oil coming in next to 55%. %.
Bitcoin was thus the best performing asset for another year, as pointed out in a report by Goldman Sachs.
The data show that cryptocurrency posted a strong return of 60% over the year, while the second best return came from crude oil at 55%. The S&P 500, often compared to Bitcoin, for its part, rose 29%, while the Russell 1000 Growth and the Nasdaq rounded out the top 5, both standing at 28%.
This performance is a further achievement for Bitcoin, which for many years has been ignored by its detractors. The 2020s and 2021s were quite different from that initial sentiment, with many established companies and investors joining the market. BTC’s performance in 2021 therefore appears to reflect this change.
The biggest tech stocks, such as Facebook, Apple, Amazon, Microsoft and Google, posted a return of 37%. This is a solid result, but still paltry compared to Bitcoin’s.
Gold, on the other hand, seems to be losing some of its luster. So in 2021, the precious metal posted a return of just 4%, which likely upset Peter Schiff, the prominent Bitcoin critic and avid follower of gold. The younger generations, in particular, seem to be moving away from gold and turning to BTC, which is often referred to as “digital gold”.
What awaits Bitcoin in 2022?
The next few years could be even more important for Bitcoin, as adoption rates rise and different countries implement regulations. The year 2022 promises to be an exciting one for this asset class in general, which has taken root in public awareness thanks to NFTs and decentralized finance (DeFi).
As the market leader, Bitcoin will likely be the first asset most people will invest in. Exchanges like institutions are also working on global solutions to facilitate investment, which could have a very positive effect on BTC.
Government regulations will be an obstacle for Bitcoin, however, but it looks like most countries will allow this asset, albeit not as legal tender like El Salvador did. With regulatory uncertainty lifted, BTC could experience much stronger growth in 2022, which would translate into another year of cryptocurrency’s outperformance relative to other financial markets.
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