Bitcoin Beats Wall Street For A Second Year In A Row

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As 2021 came to an end and Bitcoin finished with a price of $47k, the world’s biggest crypto coin outdid Wall Street and most major stock markets for a second year in a row, with a profit of around 60%.

Two winning years in a row, or a three year streak with a small upwards candle in between is normally all we get since the beginning of Satoshi’s invention, but given that it’s a pandemic economy with possible wintery lockdowns and stimulus cheques, we might see a major follow-up.

In traditional finance, with the Federal Reserve threatening to raise interest rates in 2022 and the ECB and other central banks likely to follow, it is anyone’s guess whether stocks will provide a growth market next year as well. For 2021, tech stocks once again outdid traditional ones.

The Nasdaq 100 Index ends 2021 up 27%, its 13th straight positive year (total return)…
2009: +55%
2010: +20%
2011: +4%
2012: +18%
2013: +37%
2014: +19%
2015: +10%
2016: +7%
2017: +33%
2018: +0.04%
2019: +39%
2020: +49%
2021 YTD: +27%$NDX

Data via @ycharts

— Charlie Bilello (@charliebilello) December 31, 2021

Tesla and Coinbase boost

Bitcoin had a great 2021 overall, with great performances in the first quarter (following up a fabulous 2020) and a pat in the back from Elon Musk when Tesla said it would accept the coin as payment in January.

$BTC YEARLY CHART

The #Bitcoin yearly candle closes in a few hours.

You want to zoom out and feel bullish?

Take a gander at the $BTC yearly chart.

Up Only.

WGMI. pic.twitter.com/KA6Es2gN6w

— The Wolf Of All Streets (@scottmelker) December 31, 2021

Coinbase, the largest US trading platform for digital currencies, made its debut on the New York Stock Exchange in April, which brought another boost to the world of crypto. The value of the share is currently close to the introduction price of 250 dollars.

ETF and China

And since the end of October, Wall Street has allowed the first publicly traded investment fund in bitcoins which was approved by the American stock market watchdog. It is a fund that follows the price of the most popular cryptocurrency Bitcoin. With a so-called exchange-traded fund (ETF), investors can profit from appreciations without having to buy the digital currency themselves.

Furthermore, the approval of an ETF in the US improves the overall image of bitcoin, which is often associated with money laundering and cybercrime in the MSM, even though this only represents a very small portion of the trades registered on coin platforms. Bitcoin traded at a record high of more than $69,000 in early November. Since then, the share price has fallen more than 30 percent and is now steady around $50,000 for more than a month.

China’s crackdown on trading and mining of digital currencies, among other things, is holding back the price from rising towards $100k, according to experts, as is the risk that the United States and European countries will take regulatory measures. Bitcoin’s price in 2022 is at this moment’s anyone’s guess, but as far as we’re concerned, more of the same seen in the last two years please.

oobqoo / Depositphotos.com