Bitcoin outperforms all major asset classes in Q3 2022 except the US Dollar Index
Despite adverse macroeconomic headwinds and a stagnant crypto market, Bitcoin (BTC) managed to outperform stocks and most major fiat currencies in the third quarter of 2022, except for the US Dollar Index (DXY).
Bitcoin managed to hit $19,564 to close -1% quarter-over-quarter (QoQ) in Q3, despite its price falling in line with US stock markets for most of Q3. The US Dollar Index rose 7% over the previous quarter, according to statistics from independent crypto data aggregator CoinGecko shared with Finbold.
The analysis of Bitcoin’s performance shows that it also manages to outperform crude oil, gold, the Japanese yen and the iShares 20+ Year Treasury Bond ETF (TLT).
“Amid bearish macroeconomic headwinds and a sideways crypto market, Bitcoin is found to have outperformed all major assets — stocks and major currencies included — except the US Dollar Index in Q3 2022,” CoinGecko said.
However, when looking at year-to-date (YTD) performance, Bitcoin remains the worst-performing asset, with a 58% loss per CoinGecko.
Bitcoin predicted to outperform most assets
Notably, Finbold reported back in late July that Bloomberg commodities strategist Mike McGlone expected Fed rate hikes to boost Bitcoin to “outperform most assets,” which proved to be the case in Q3.
McGlone suggested that the Fed meetings on interest rates would likely build the foundation for Bitcoin to rise further and outperform most asset classes. Furthermore, the commodity expert also suggested that Bitcoin would likely emerge as the top resource in H2 2022.
Meanwhile, proponents of Bitcoin have continued to argue that the cryptocurrency is well-positioned to become a safe haven, a hedge against inflation, and even a possible replacement for gold.
In particular, the possibility of Bitcoin realizing its potential as a haven can be achieved due to the flagship cryptocurrency registering a higher connection with the precious metal in the context of the existing macroeconomic variables.
Specifically, Bitcoin has reached a 40-day high correlation with gold standing at 0.50, after its value was near zero in mid-August. Bitcoin is currently trading at $19,266, up 0.4% in the last 24 hours at the time of publication.
Disclaimer: The content of this page should not be considered investment advice. Investment is speculative. When you invest, your capital is at risk.
