A recent study by Mercado Bitcoin reveals that Bitcoin consistently outperforms traditional safe-haven assets like gold and the S&P 500 in the aftermath of global economic or geopolitical shocks. Analyzing 60-day periods following events such as the COVID-19 pandemic and U.S. tariff escalations, the research found that Bitcoin posted stronger returns than both gold and the S&P 500 each time. For instance, after the Trump administration announced tariffs, Bitcoin surged 24% compared to gold’s 8% and the S&P’s 4%.
This trend underscores Bitcoin’s resilience and potential as a hedge during turbulent times, particularly as it has shown a positive return of over 2.2% amid the ongoing U.S.-Iran conflict, while gold and the S&P have seen declines of 11% and 4.4%, respectively.
For market professionals, this highlights Bitcoin’s role as a viable alternative to traditional safe havens, suggesting that it may be worth considering for those looking to mitigate risk during periods of uncertainty.
Source: coindesk.com