25 May
25May

Tech giant Nvidia's (NVDA) significant outperformance compared to Bitcoin (BTC) over the past decade is unlikely to be replicated in the next ten years, according to crypto industry figures.

Cory Klippsten, CEO of Swan Bitcoin, emphasized the slim possibility of Nvidia surpassing Bitcoin's performance over the next decade, expressing a preference for Bitcoin as the superior investment choice.

Investment strategist Lyn Alden echoed similar sentiments, acknowledging NVDA's rare feat of outperforming Bitcoin over a ten-year period but asserting a preference for Bitcoin's potential over the long term.

Between May 23, 2014, and May 23, 2024, Nvidia's returns stood at 21,558%, while Bitcoin returned 13,048%, based on Statmuse data.

Despite Nvidia's impressive performance, particularly in recent months compared to Bitcoin's gains since the approval of spot Bitcoin exchange-traded funds (ETFs), trading resource The Kobeissi Letter highlighted Nvidia's staggering growth from a $10,000 investment in 1999 to $25.3 million today.

Speculation arose regarding the riskiness and potential foresight associated with investing in Nvidia compared to Bitcoin back in 2014, with considerations about the relative adoption and potential returns of both technologies.

"Sina," co-founder of 21st.capital, emphasized the broader network effects inherent in financial assets compared to AI technologies, suggesting that financial assets generally have a more significant impact as more people engage with them.

While optimistic projections exist for Bitcoin's performance in the near future, there are also cautionary predictions of a significant market correction, such as Giovanni Santostasi's "Power Law" model forecasting Bitcoin's potential peak and subsequent decline.

May 2024, Cryptoniteuae

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