Nvidia’s impressive performance compared to Bitcoin over the past decade should not be seen as an indication of future success, according to cryptocurrency experts. Swan Bitcoin CEO Cory Klippsten confidently stated that there is a “near zero chance” of Nvidia outperforming Bitcoin in the next ten years. Investment strategist Lyn Alden, while acknowledging that Nvidia has outperformed Bitcoin over a ten-year period, expressed her preference for Bitcoin in the coming decade.
Between May 23, 2014, and May 23, 2024, Nvidia has achieved a remarkable return of 21,558%, while Bitcoin has returned 13,048%, according to Statmuse data. In the last three months, since the approval of spot Bitcoin ETFs, Bitcoin has slightly outperformed Nvidia, with returns of 31.7% and 30.2% respectively.
The Kobeissi Letter highlighted the astounding growth of a $10,000 investment in Nvidia stock in 1999, which is now valued at $25.3 million. This raises the question of whether investing in Nvidia back in 2014, when both Bitcoin and AI were less widely adopted, would have been considered even riskier.
Daniel Sempere Pico pondered the unpredictability of AI in 2014 and the potential foresight some had regarding Bitcoin’s potential. He questioned which investment would have been deemed riskier and less likely to achieve such incredible returns at that time.
However, “Sina” from 21st.capital argued that financial assets generally have a broader impact as more people start using them, whereas AI lacks the same network effects. This suggests that the domino effect of financial assets could lead to greater returns compared to AI.
While there are optimistic predictions for Bitcoin’s performance in the next couple of years, there are also warnings of a significant correction. Former physics professor Giovanni Santostasi, using his “Power Law” model, predicts that Bitcoin could reach a peak of $210,000 in January 2026, but then decline to as low as $60,000.