After the major decline in the crypto markets in December 2018, a remarkable picture emerged for long-term investors in Bitcoin and Ethereum. In the nearly seven years since then, both cryptocurrencies have returned over 2,000 percent.
Seven Year Performance Comparison
After reaching the bottom in the bear market in December 2018, Bitcoin and Ethereum followed a fairly parallel pattern in terms of price movements. With the recovery that started in 2019, both Bitcoin and Ethereum recorded significant increases. Both assets experienced significant increases during the accumulation process seen in 2020 and the bull market in 2021. Although the markets suffered serious losses again in 2022, both cryptocurrencies generally increased at a similar rate.
According to the latest data, the return of Ethereum has reached 2.269 percent since December 2018, while this rate for Bitcoin was measured as 2.006 percent. These figures; It clearly shows that Bitcoin and Ethereum increased by approximately 20 times their prices at that time.
The Importance of the Starting Point
These graphs emphasize that investment timing plays a decisive role in returns. After the peaks experienced in 2021, both cryptocurrencies remained below their highest values for a period of time. Although Ethereum has displayed a weak image against Bitcoin in past current prices, this picture is changing when we look at it from 2018 to today.
While Ethereum provided a higher return by a small margin during this period, looking at different time periods, it seems that some advantages changed hands. In short, price balances that change in the short term may differ in the long term.
While the position of an investor who invested $10,000 in Bitcoin at the market bottom at the end of 2018 reached approximately $210,600; If the same amount was invested in Ethereum, this amount would be approximately $236,900. There were no major differences in returns between the two assets over the seven-year period.
This chart, which is widely used in the industry, once again reveals that both Bitcoin and Ethereum presented a significant opportunity for long-term investors at that time.
As a result, the nominal difference between yields remains relatively limited in the grand scheme of things. The market bottom of 2018 was recorded as a prominent investment opportunity for both Bitcoin and Ethereum.
