$BTC Becomes an Investment Asset, This is the Price of Rolex vs Bitcoin Over the Last 5 Years

Rolex, the luxury watch brand, offers a unique blend of history, craftsmanship, and exclusivity as an investment asset. Although it does not fit the conventional form of traditional investments, the allure of its horological masterpieces has attracted more and more collectors and investors.

During the period from 2020 to 2022, the prices of Bitcoin and the Rolex market index both experienced sharp increases, especially in 2021. The asset created by Satoshi Nakamoto peaked around US$60,000 to US$65,000, followed by the Rolex Index which peaked at around US$28,000.

Then in 2022-2023, both assets experienced significant declines. Bitcoin dropped to nearly US$20,000, and the Rolex Index also gradually fell below US$21,000.

Bitcoin rebounded sharply, even surpassing US$100,000 in 2024 before eventually dipping slightly. In contrast, the Rolex Market Index remained stagnant or tended to decline, indicating that the value of luxury watches did not follow the price surge of Bitcoin.

"Luxury watches are high-end products that appeal to the very wealthy. In recent years, some of these buyers have invested in crypto and even chosen to pay with Bitcoin or similar currencies," said Luxe Watches Managing Director Nicholas Hickey.

The 2022 Wealth Report indicated that 18% of ultra-high-net-worth individuals (UHNWI) invested in crypto. In fact, in 2021, cryptocurrency spending on luxury goods increased by 31%.

The influence of crypto in the watch market has even extended to actual products. In May 2019, Swiss luxury watchmaker Franck Muller announced the world's first functional Bitcoin watch, Encrypto, which doubles as a Bitcoin wallet.