Gold and Bitcoin are completely different investments; the former is considered a traditional safe haven, while the latter is seen as a modern digital asset. Here is a comparison of their performance:
*Price Performance*
- Gold increased by 60% between 2010 and 2024.
- Bitcoin rose from $4 in 2011 to over $106,000 in 2024, representing a growth of over 2 million percent.
*Performance During Economic Crises*
- During the inflation crisis of the 1970s, gold rose by 2300%.
- During the inflation cycle from 2020 to 2024, Bitcoin increased by 1185%.¹
*Exchange-Traded Funds*
- Gold exchange-traded funds reached $290 billion in assets under management by 2024.
- Bitcoin spot exchange-traded funds attracted flows of $33.6 billion within just six months of their launch in 2024.
*Conclusion*
The choice between investing in gold and Bitcoin depends on individual investment strategy and the investor's risk tolerance. While gold offers proven stability, Bitcoin is gaining momentum with unprecedented growth potential.