Bitcoin vs. NVIDIA Stocks: Which Has Been the Better Investment in 2024?
Bitcoin (BTC) and NVIDIA Corp (NASDAQ: NVDA) have both had impressive performances in the cryptocurrency and stock markets in 2024. However, if you’re an investor, you might be wondering which of these two assets has been the better investment so far this year.
Interestingly, the outstanding performances of Bitcoin and NVIDIA are not isolated incidents. In fact, cryptocurrencies, commodities, and stocks have all reached new highs in 2024, indicating a more optimistic economy.
Previously, Finbold reported on the similarities in price action between Gold, BTC, and the S&P 500. Most risk assets have benefited from a positive outlook on interest rate reduction this year, despite recent data that raises concerns about the effectiveness of the Federal Reserve’s anti-inflation policies.
Bitcoin’s YTD Performance as an Investment in 2024
Bitcoin has had an exceptional year so far, achieving new all-time highs (ATH) in the first quarter. Remarkably, BTC surpassed its previous ATH even before the mining block subsidy halved, which was expected to happen by April 21.
If we look at the chart, Bitcoin started trading at $42,180 on January 1 and is currently priced at $71,450. This represents a year-to-date surge of 69.60% over a period of 71 days. It’s worth noting that the Bitcoin daily Relative Strength Index (RSI) is overbought at 76.82.
Throughout the year, BTC has experienced lows of $38,514 and highs of $72,967—a nearly 90% variation from minimum to maximum.
NVIDIA Stocks’ YTD Performance as an Investment in 2024
On the other hand, NVIDIA has benefited from the increasing demand for GPUs and the surge in artificial intelligence (AI) narratives. This trend has propelled NVIDIA’s stock price to an impressive 83.93% year-to-date increase.
The stock price of the technology company went from $492.44 per share on January 2 to $903.71 at the time of publication. Throughout the year, it reached a low of $473.20 and a high of $974. The strong technical indicator, with an RSI of 70.57, suggests a healthy momentum for NVIDIA.
Conclusion: Which Has Been the Better Investment in 2024?
Based on the performance so far this year, NVIDIA has proven to be a better investment than Bitcoin in 2024. Investors who bought NVDA stocks have experienced less volatility between the highs and lows while enjoying greater gains year-to-date.
In addition, the RSI indicates that NVIDIA currently has a healthier status than Bitcoin, suggesting potential for further growth.
However, it’s important to remember that both investing in NVDA and BTC carry risks, and both markets are unpredictable. Past performance does not guarantee future outcomes, and investors should have a solid understanding of the fundamentals of these assets before making significant investments.
Hot Take: Assessing the Better Investment Option
As we look at Bitcoin and NVIDIA’s performances in 2024, it’s clear that both assets have had remarkable gains. However, when comparing their year-to-date performances, NVIDIA stocks have outperformed Bitcoin so far.
While Bitcoin has seen significant surges and achieved new all-time highs, its volatility is evident with large price swings between its lows and highs throughout the year.
On the other hand, NVIDIA stocks have shown a more stable growth trajectory with a healthy momentum indicated by the RSI. This makes it a more attractive investment option for those seeking less volatility.
Ultimately, the decision between investing in Bitcoin or NVIDIA stocks depends on your risk tolerance and investment goals. It’s crucial to conduct thorough research and analysis before making any investment decisions.
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