Despite 2021 continuing to be a wild ride for cryptos — and Bitcoin especially — and naysayers who see it as a passing fad, Bitcoin is the best performing asset so far this year, beating both stocks and commodities.
“After the strong Q3 performance Bitcoin is now up 49.1% year-to-date,” Bitcoin tweeted in regard to NYDIG data.
— Bitcoin (@Bitcoin) October 4, 2021
James Butterfill, investment strategist at CoinShares, told GOBankingRates that Bitcoin has been the best performer for seven of the previous nine years. “As this is an emerging new assets class, reflecting the potential transformation of many industry sectors, particularly finance, it comes as no surprise that it continues to outperform this year, too,” he said.
Bitcoin saw inflows of $48m last week, after having suffered the longest run of outflows on record, this is now seen its third week of inflows totaling $115 million, according to CoinShares. “We believe this decisive turnaround in sentiment is due to growing confidence in the asset class amongst investors and more accommodative statements from the U.S. Securities Exchange Commission and the Federal Reserve,” according to CoinShares.
Several experts remain optimistic about Bitcoin’s near future, including Ark Investments’ Cathie Wood, who reiterated her trust in Bitcoin, saying last month at the SALT conference held by hedge fund SkyBridge Capital that she believes it will reach “over $500,000.”
The sentiment is echoed by Sylvia Jablonski, CIO at Defiance ETFs, who told GOBankingRates that she remains bullish on the Bitcoin rally, and the idea that crypto currencies like Bitcoin and Ethereum will continue to rise. “$100,000 price target for Bitcoin YoY in 2022, will not surprise me,” she stated. “There is a strong bid for bitcoin for many reasons. You have major countries adopting the cryptocurrency as a true source of exchange for goods and service, El Salvador is a recent example.”
Jablonski added that the “green” concerns are being researched and quickly implemented by many major miners to address climate concerns. “You have the SEC deliberating over ETFs and mutual funds, which if launched would increase overall holdings. In the U.S. it is now easier than ever to buy, use and convert crypto with various platforms from PayPal, to Coinbase, to trading exchanges providing the technology and space to exchange bitcoin.”
“The future is NFT, blockchain and crypto,” she added. “I wouldn’t be surprised if digital assets get to the trillions in coming years, this is what the ETF was in the ’90s. The next big thing.”
Bitcoin crossed the $50,000 threshold once again a few days ago, and is up 9% at $54,000 today, according to CoinMarketCap data.
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Last updated: October 6, 2021
This article originally appeared on GOBankingRates.com: Bitcoin Q3 Performance Cements Status as Highest-Performing Asset of 2021