Since the beginning of the COVID-19 pandemic and after an initial dip, the stock market has performed exceptionally well for such an economically uncertain time. The SPDR S&P 500 electronically traded fund (ETF), which provides a good indicator of the stock market’s overall performance, has increased in value by 32% year-over-year (YoY) and 39% since the beginning of January 2020.
While these returns are impressive, the performance of Bitcoin has surpassed expectations and greatly exceeded the performance of the S&P 500. Bitcoin’s value has drastically increased by 554% since the beginning of 2020 and by 352% YoY. As Figure 1 highlights, these are far beyond those of the stock market and most any other asset class. Bitcoin’s price during this time rose from $7,175 and $10,382, respectively, to $46,898.
For the past 4 years, Cash2Bitcoin has helped new investors across the United States gain access to this asset by providing physical locations where Bitcoin can be purchased, in the form of ATMs. Ubiquitous access to these ATMs has enabled investors at all levels to reap the benefits of this growing asset.
Figure 1: Price change of Bitcoin and SPY ETF between January 1, 2020, and September 7, 2021
Investors rewarded throughout the pandemic
On account of its marked performance, investing in Bitcoin has greatly rewarded its supporters and many short, medium, and long-term investors have made notable gains in the past two years. Figure 2 illustrates returns for investments made at eight different periods leading up to the present day, September 7, 2021. For instance, if an individual purchased Bitcoin nine months ago and sold it now, they would have made a profit of 145%. Similarly, if they purchased Bitcoin 18 months ago and sold it now, they would have made a
