Strategic Change in Crypto Investment: The Role of Bitcoin in Portfolio Performance
According to Odaily, trader Eugene highlighted in his community that portfolios lacking a base allocation in Bitcoin have generally underperformed compared to traditional stock indices such as the S&P 500 in the current cycle. Unlike the period 2019–2022, where crypto assets significantly outperformed traditional assets, indicators such as ETH, SOL, and TOTAL3 (the total market capitalization excluding BTC and ETH) have not surpassed U.S. stock benchmarks in this cycle. Eugene suggests that as the crypto market matures and public allocation increases, the era of achieving financial freedom solely through crypto assets is fading. He warns that continuing to hold only crypto assets without Bitcoin or leveraged Bitcoin could be a strategic mistake. Even in cycles with increased risk appetite, a 2x long position in Bitcoin could outperform a single long position in other high-beta cryptocurrencies.
