During the third quarter, traditional assets performed better than bitcoin.
2024 appears to be developing the same way as 2023, according to NYDIG.
Bitcoin (BTC) and other cryptocurrencies have been the performance stars in 2024, but their lead over other assets has diminished considerably in recent months.
According to NYDIG, a company specialized in bitcoin trading, although these assets have shown strong performance this year, volatility has increased significantly.
Despite being a typically weak quarter for bitcoin and cryptocurrencies, during the recently completed third quarter These assets recorded a gain of 2.5%, recovering from previous losses, but still limited by significant sales, according to Greg Cipolaro, global director of research at NYDIG.
This behavior reflects a notable trend: other assets, including precious metals and certain equity sectors, have narrowed the gap with cryptocurrencies in terms of performance.
The share of BTC and crypto assets in the market has been momentarily overshadowed by assets such as gold, which has set new records, and value stocks in sectors such as utilities and real estate, which have shown superior performance during the third quarter.
Cipolaro points out that this phenomenon is not new; 2023 presented a similar picture, where stocks and precious metals also had outstanding performance.
The chart below, provided by NYDIG, shows how bitcoin (representing cryptocurrencies) has outperformed all other financial assets since January 1, 2024.
Contrary to the general norm, BTC experienced its best September in terms of performance, which contrasts with this month’s history as the weakest for the asset, as reported by CriptoNoticias. This data highlights a positive anomaly in one year which could otherwise be described as volatile and uneven in terms of earnings.
Although NYDIG does not explicitly mention it, other cryptocurrencies such as Solana and Toncoin have far outperformed BTC since the beginning of this year, with price increases of 76% and 139%respectively, compared to 59% of bitcoin. This fact suggests that, within the cryptocurrency ecosystem, competition for investors’ attention and capital is fierce.
In the medium and long term, expectations for BTC remain bullish. This optimism is based on continued adoption, planned supply shortages, and growing institutional interest. The projection that bitcoin could reach $250,000 by 2025, backed by analysis such as that of Standard Chartered, reflects confidence in the potential of the digital asset, especially in a context of expansive monetary policies and expectations of reductions in interest rates.
This article was created using artificial intelligence and edited by a human Editor.