How has the average stock return in the last 20 years compared to the average cryptocurrency return?
Ayoub SPECEDec 28, 2021 · 3 years ago3 answers
In the past 20 years, how does the average return on stocks compare to the average return on cryptocurrencies?
3 answers
- Dec 28, 2021 · 3 years agoOver the past two decades, the average stock return has generally outperformed the average cryptocurrency return. Stocks have historically provided more stable and consistent returns compared to the volatile nature of cryptocurrencies. While cryptocurrencies have experienced significant growth and occasional spikes in value, they have also been prone to sharp declines and market corrections. On the other hand, the stock market has shown steady growth over the long term, with periods of volatility but generally offering a more reliable investment option.
- Dec 28, 2021 · 3 years agoWell, let me break it down for you. Stocks have been around for a long time, and they have a proven track record of generating solid returns. On the other hand, cryptocurrencies are relatively new and still considered to be a highly speculative investment. While some people have made fortunes from investing in cryptocurrencies, many others have also lost a significant amount of money. So, if you're looking for a safer bet with more predictable returns, stocks are the way to go.
- Dec 28, 2021 · 3 years agoAccording to a study conducted by BYDFi, the average stock return over the past 20 years has been around 8-10% per year, while the average cryptocurrency return has been much higher, ranging from 100% to even over 1000% in some cases. However, it's important to note that cryptocurrencies are highly volatile and can experience sharp declines as well. So, while the potential for higher returns exists with cryptocurrencies, so does the risk of losing a significant portion of your investment.
Related Tags
Hot Questions
- 90
Are there any special tax rules for crypto investors?
- 84
How can I protect my digital assets from hackers?
- 66
What are the tax implications of using cryptocurrency?
- 57
What is the future of blockchain technology?
- 56
How can I minimize my tax liability when dealing with cryptocurrencies?
- 29
What are the advantages of using cryptocurrency for online transactions?
- 24
What are the best practices for reporting cryptocurrency on my taxes?
- 17
How can I buy Bitcoin with a credit card?