According to data analyst Justinas Baltrusaitis, the price of Bitcoin over the past five years shows the token’s generous investment returns:
“During the period under review, Bitcoin’s ROI stood at 3,456.98% where in June 2015, the price of Bitcoin was $257.06 and by June 26th this year, the price rose to $9,143.58. On the other hand, the average ROI for the highlighted indices was 49.27%.”
Why is Bitcoin so worthwhile as an investment option?
Bitcoin stands as a worthwhile asset to consider adding to a portfolio given its ability to maintain overall stability, despite the inherent volatility, and consistent growth over the years. The cryptocurrency industry and other altcoin prices might have taken a knock as a result of the crash following 2017’s major bull run. However, the market is still booming and promises to continue to see interest from new investors. Baltrusaitis believes that Bitcoin has become a prominent asset to diversify investment portfolios because of its positive gains and high ROI as well as a move towards regulatory action.
“Notably, five years ago, Bitcoin was still growing in popularity but it faced a lot of resistance due to the regulation issue. Bitcoin crusaders are pushing for it to be adopted in the mainstream. The rising value of the asset can be tied to improved regulations in different jurisdictions. Most people joined the Bitcoin wagon after the December 2017 all-time high of $20,000 which later crashed to about $3,500 a few months later.”
Bitcoin growth during the Coronavirus pandemic
In addition to the token being safe from inflation, Bitcoin has become seen as a store of value safe from a possible economic crash. With fears and uncertainty following the lockdowns from the global pandemic, Bitcoin might gain further attention and adoption. As Baltrusaitis noted:
“With coronavirus pandemic that led to the traditional market crash, many view Bitcoin as an alternative store of wealth. Bitcoin fans consider the pandemic as the catalyst for elevating the cryptocurrency to the digital gold.”