If there is one crypto asset that is expected to succeed in 2025, it will definitely be Bitcoin. The cryptocurrency launch has shown remarkable success, starting in 2025.

With solid numbers in recent weeks, analysts have high hopes that more breakthroughs could occur. In fact, based on recent research, Bitcoin has surpassed conventional asset classes such as gold, cementing the optimism behind the coin.

This year’s success of the digital coin is no surprise and can be attributed to several favorable market conditions, including Donald Trump’s victory in the recent US elections.

According to a report by Artistic Planning and a post by Charlie Bilello on Twitter/X, Bitcoin’s performance dwarfed that of other asset classes, with gold providing a return of just 26%.

The same data shows that the Nasdaq 100 gained 25%, US vast caps gained 24%, mid-caps gained 13%, and convertible bonds gained 10%. Although Bitcoin is showing decent numbers, it is still a volatile asset with dramatic price fluctuations.

With the exception of long-term Treasuries, all major assets ended 2024 higher, with Bitcoin leading for the second year in a row.https://t.co/l5IYmkf6Ih pic.twitter.com/TyStoT73rp

— Charlie Bilello (@charliebilello) January 1, 2025

Bitcoin outperforms gold and other US indices

Although Bitcoin has faced some criticism and been the subject of regulatory action, it remains the best-performing asset class. Since 2011, BTC has led all other asset classes, except for at least three years in which it generated negative returns for holders. For example, in 2018, Bitcoin’s profitability was -73%.

However, for the most part, Bitcoin performed consistently well, and there were even cases where the yield exceeded 1,000%. According to the same chart, in 2011 Bitcoin even offered a yield of 1,437%, beating even long-term treasury bonds with a “modest” 34%.

There have been cases where Bitcoin’s profitability has disappointed its holders and investors. If we check the return of this asset this year, we find that it is lower than last year’s return of 156%. Bitcoin also led the major asset classes last year, also beating out gold.

Bitcoin shows strength, but volatility remains

While Bitcoin has performed strongly compared to other asset classes for most of the past 14 years, its volatility still raises questions. Owning Bitcoin or other cryptocurrencies always comes with risks due to erratic price fluctuations and even policy announcements.

Bitcoin price has more than doubled since the beginning of 2024 in the 40k range. dollars. At the time of publication, Bitcoin is trading between 95 thousand dollars and 97 thousand dollars.

On December 5 last year, the price of Bitcoin reached 100,000. dollars, and then after one day it dropped below 100,000 again. dollars. Ether has also joined the rally and volatility, growing almost 50% year-over-year and currently trading in the $3,400 range.

Featured image from Newsbit, chart from TradingView