In recent days, Bitcoin (BTC) has lagged behind gold and silver in its gains. While silver and gold have been hitting record highs, this rise has occurred amidst a weakening US dollar, global tensions, and general market stress.
Meanwhile, Bitcoin failed to gain momentum. BTC lost value last week and remained below the critical $90,000 level.
While the rise of silver and gold is often compared to the decline of Bitcoin, Bloomberg ETF analyst Eric Balchunas offered his assessment.
According to Eric Balchunas, the recent drop in Bitcoin’s price and the related negative comments have been exaggerated.
At this point, Balchunas stated that Bitcoin has outperformed other major assets significantly over the past few years, and that the recent move resembles a consolidation phase rather than a trend reversal.
In a post from his X account, Balchunas stated, “Since 2022, Bitcoin has increased by 429%, far outpacing gold, silver, and the Nasdaq index.”
The analyst noted that despite its recent declines, Bitcoin has shown a significant outperform compared to gold and silver since 2022.
Balchunas noted that Bitcoin has increased by 429% since 2022, surpassing gold’s 177% and silver’s 350% increases.
According to Blachunas, the conclusion to be drawn from this is that after Bitcoin’s extraordinary gains in 2023 and 2024, it is now only experiencing a relative pullback.
“Bitcoin crushed everything so much in 2023 and 2024 that even after having its best years compared to other assets, and even now that Bitcoin is falling, it still hasn’t caught up.”
People forget that while other assets have been trading at record highs for a year, they haven’t been able to keep up with Bitcoin’s performance.
“The correction that occurred doesn’t mean Bitcoin has gone into a coma; it’s a breathing process. There’s no need for the market to be overly worried.”
*This is not investment advice.
