- Crypto assets have once again outperformed other major asset classes.
- A huge percentage of the crypto rally this year is due to Bitcoin’s ability to lead the market trends.
Cryptocurrency News Today – It is that time of the year when analysts compare the performance of different asset classes. During this decade, digital currencies came into existence and stayed on top compared to traditional assets. Every year since the decade began cryptocurrencies have led.
Now as the year draws to a close and as this decade ends, we have taken a look at how each class of assets performed. In the last 12 months, cryptocurrencies have once again outperformed traditional assets. Note that the asset class was able to achieve this feat once again despite trading significantly lower than the record highs attained on December 2017.
At the time, the large-cap cryptos had a phenomenal 12 months. That period remains the greatest investment success story in the closing decade. It was during that era that crypto placed itself as the world’s number one asset class by yearly performance. It is safe to agree that cryptos have risen significantly above the annualized returns issued by the equities, commodities and bond markets of the U.S for the closing year.
Large-cap Digital Assets Offer Higher Returns than Traditional Assets for the Year
The Co-founder and president of Digital Assets Data, Ryan Alfred, remarked that for this year large-cap cryptos possess higher returns compared to traditional markets. A research given by Digital Assets Data highlights this year’s performance of top 10 digital tokens by market cap and how they fared against traditional assets like gold, oil and equities. 2019 didn’t start booming for crypto.
In February 2019, crypto was in a fairly dismal run, and was resting below the bulk of traditional assets. However, sentiment picked up in March and as of mid-year, cryptos were ahead of other asset classes. This began to close as stocks, bonds and commodities increased their lead. Yet crypto remained significantly ahead of others as the year draws to a close. Much of this is courtesy of Bitcoin. BTC is currently up by 100% since the beginning of the year.
Ethereum is up by 35% up. XRP is down by 25% from the point it traded as of January 1 2019. During the year before the closing decade began, there was a global financial crisis. Since then to this day, stocks have rebounded. From the March 2009 market meltdown to now, S&P 500 has gained 369%. While, the Dow Jones Industrial Average has gained 326% in the same period. All in all cryptocurrencies have had another remarkable year.