Bitcoin Performance

BTC Crypto  USD 67,722  239.35  0.35%   
The crypto shows a Beta (market volatility) of 0.33, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, Bitcoin's returns are expected to increase less than the market. However, during the bear market, the loss of holding Bitcoin is expected to be smaller as well.

Risk-Adjusted Performance

11 of 100

 
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Compared to the overall equity markets, risk-adjusted returns on investments in Bitcoin are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. In spite of rather unsteady fundamental indicators, Bitcoin exhibited solid returns over the last few months and may actually be approaching a breakup point. ...more
1
Difficult, if not dangerous time to recommend crypto to clients, industry exec says - Blockworks
06/13/2023
2
FBI says North Korean hackers preparing to cash out after high-profile crypto hacks - TechCrunch
08/23/2023
3
Elizabeth Warren wins crypto recusals from Biden pick - POLITICO
02/14/2024
4
How can crypto firms bridge the gap with traditional finance - Cointelegraph
02/26/2024
5
Why I will never work in crypto again - eFinancialCareers
03/15/2024
6
Coinbase Revealed To Be Backing BlackRocks 5 Trillion By 2030 Crypto Game-Changer After Bitcoin, Ethereum And XRP Price Pump - Forbes
03/22/2024
7
Crypto game Munchables on Blast exploited for 63M - Cointelegraph
03/26/2024
8
DeFi developers behind crypto exchange Phoenix close 20 million Series A round - Fortune
04/04/2024
9
IRS Releases Draft Of New Crypto Tax Form Used To Report Transactions - Forbes
04/22/2024
10
Bitcoin breaks six-week losing streak, climbs to 67,000 - CNBC
05/17/2024
11
A16z Boosts Cryptos Election Fund by Another 25M to Seek Friendly Congress - CoinDesk
05/30/2024
  

Bitcoin Relative Risk vs. Return Landscape

If you would invest  2,585,635  in Bitcoin on March 5, 2024 and sell it today you would earn a total of  4,186,525  from holding Bitcoin or generate 161.91% return on investment over 90 days. Bitcoin is generating 0.4161% of daily returns assuming 2.8371% volatility of returns over the 90 days investment horizon. Simply put, 25% of all crypto coins have less volatile historical return distribution than Bitcoin, and 92% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days.
  Expected Return   
       Risk  
Assuming the 90 days trading horizon Bitcoin is expected to generate 4.25 times more return on investment than the market. However, the company is 4.25 times more volatile than its market benchmark. It trades about 0.15 of its potential returns per unit of risk. The NYSE Composite is currently generating roughly 0.1 per unit of risk.

Bitcoin Market Risk Analysis

Today, many novice investors tend to focus exclusively on investment returns with little concern for Bitcoin's investment risk. Standard deviation is the most common way to measure market volatility of crypto coins, such as Bitcoin, and traders can use it to determine the average amount a Bitcoin's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.

Sharpe Ratio = 0.1467

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Estimated Market Risk

 2.84
  actual daily
25
75% of assets are more volatile

Expected Return

 0.42
  actual daily
8
92% of assets have higher returns

Risk-Adjusted Return

 0.15
  actual daily
11
89% of assets perform better
Based on monthly moving average Bitcoin is performing at about 11% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Bitcoin by adding it to a well-diversified portfolio.

About Bitcoin Performance

To evaluate Bitcoin Crypto Coin as a possible investment, you need to clearly understand its upside potential, downside risk, and overall future performance outlook. You may be satisfied when Bitcoin generates a 15% return over the last few months, but what if the market is generating 25% over the same period? In this case, it makes sense to compare Bitcoin Crypto Coin's performance with different market indexes, such as the Dow or NASDAQ Composite. These indexes can act as benchmarks that will help you to understand Bitcoin market performance in a much more refined way. The Macroaxis performance score is an integer between 0 and 100 that represents Bitcoin's market performance from a risk-adjusted return perspective. Generally speaking, the higher the score, the better is overall performance as compared to other investors. The score is normalized against the average investing universe (the best we can interpret from the data available). Within this methodology, scores of individual equity instruments will always be inferior to the scores of portfolios of equities as portfolios typically diversify a lot of unsystematic risks away. The formula to derive the Macroaxis score bases on multiple unequally-weighted factors. For more information, refer to our portfolio performance evaluation section.
Please also refer to our technical analysis and fundamental analysis pages.
Bitcoin is peer-to-peer digital currency powered by the Blockchain technology.
When determining whether Bitcoin offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Bitcoin's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Bitcoin Crypto.
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bitcoin. Also, note that the market value of any cryptocurrency could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.
Note that the Bitcoin information on this page should be used as a complementary analysis to other Bitcoin's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Please note, there is a significant difference between Bitcoin's coin value and its market price as these two are different measures arrived at by different means. Cryptocurrency investors typically determine Bitcoin value by looking at such factors as its true mass adoption, usability, application, safety as well as its ability to resist fraud and manipulation. On the other hand, Bitcoin's price is the amount at which it trades on the cryptocurrency exchange or other digital marketplace that truly represents its supply and demand.