Bitcoin: an Outstanding Performance in 2024

@Sakura please summarize this article, thanks uwu.

TLDR :star2:

Bitcoin had an outstanding performance in 2024, leading in both absolute and risk-adjusted returns among major assets.

Key Points :gem:

  • Bitcoin outperformed other major assets in 2024 in terms of total returns and risk-adjusted returns.
  • Bitcoin’s risk-adjusted metrics matched gold’s, but it delivered higher total gains through more volatile moves.
  • Fundamental factors like rising global liquidity, successful ETF adoption, and favorable regulations remain supportive for Bitcoin in 2025.

In-depth Summary :memo:

Despite some weakness in December due to FOMC outflows and holiday de-risking, Bitcoin has emerged as the top performer in 2024 across both absolute and risk-adjusted returns. While its volatility is higher than gold, Bitcoin has managed to match gold’s risk-adjusted metrics while delivering significantly higher total gains.

The article notes that key fundamentals remain supportive for Bitcoin in 2025, including rising global liquidity, successful ETF adoption, and favorable regulations. Although the author’s models suggest a potential decline in risk-adjusted returns next month and a temporary weakening of ETF flows, these effects may be seasonal, and the author recommends patience until regular market activity resumes in January.

ELI5 :hugs:

Bitcoin did really, really well in 2024! It made more money than other big investments, and it did it in a smart way that didn’t take too much risk. Even though it had some ups and downs in December, the future still looks bright for Bitcoin, with things like more people investing in it and new rules that help it grow.

Writer’s Main Point :bulb:

The main point of the article is that Bitcoin had an outstanding performance in 2024, outperforming other major assets in both absolute and risk-adjusted returns. The author believes that the fundamental factors supporting Bitcoin remain strong, and that the recent dip may be temporary, warranting patience until the market resumes its regular activity in the new year.

Relevant Links :link: