Amid the relentless buzz surrounding cryptocurrencies, many may be taken aback to learn that Bitcoin is heading towards its fourth-worst year on record.
The digital currency’s annual returns are currently a modest 18.45%.
This performance is particularly disappointing given that the U.S. dollar is experiencing its steepest decline since 1973, having dropped approximately 9% against a collection of major fiat currencies.
In reality, Bitcoin has only managed a slight increase of 6% against the euro this year.
The year 2025 appears poised to become Bitcoin’s weakest “green” year ever. The cryptocurrency performed worse only during severe bear markets in years like 2014 (-58.82%), 2018 (-74.59%), and most recently in 2022 (64.21%).
Bitcoin’s Notable Underperformance
The pinnacle of Bitcoin’s success was back in 2013 when it achieved an astonishing gain of over 5,586%.
While such extraordinary returns are now beyond reach for this $2.2 trillion asset, it’s noteworthy that Bitcoin has lagged behind both gold and the S&P;500 index despite its smaller market size.
Gold has emerged as the favored “safe haven” investment and is enjoying its best performance since 1979 with gains exceeding an impressive $57%. Recently, gold surpassed the $4,200 mark for the first time ever.
“Uptober” Becomes “Floptober”
A number of analysts were optimistic about October being a strong month for Bitcoin due to historical trends showing it as one of its best months annually.
This October began promisingly with Bitcoin reaching an all-time high at $126,272 on October 6th but quickly lost momentum after plummeting by around 13%, driven by escalating trade tensions between America and China within days.
The situation suggests that this could be another red October for bitcoin—the first since enduring an intense bear market back in 2018.