Bitcoin Investment Returns Have Plummeted
Over the past few years, the rolling return on Bitcoin investments has dropped dramatically — and continues to decline.
Analysts at the asset management firm Diaman Partners have compiled a chart showing the changes in Bitcoin’s rolling investment returns, revealing that the cryptocurrency’s profitability has fallen sharply. The peaks once indicating opportunities for enormous profits have not appeared since 2021.
One-Year Rolling Bitcoin Investment Returns
The fluctuations shown on the chart indicate a significant change in the risk-to-reward ratio of investing in digital assets. This shift is caused by a decline in Bitcoin’s price volatility, which in turn is driven by the increase in its market capitalization. The higher Bitcoin’s price becomes, the harder it is to move it up or down — meaning that as the asset appreciates, its price swings become less pronounced.
In conclusion, Diaman Partners experts reported that Bitcoin is not experiencing exponential growth in the current four-year cycle, which began in April 2024 after the halving. According to their estimates, BTC will surpass $1 million only in about 15 years, and the forecast of $13 million by 2040 is unlikely to come true.
The good news, however, is that the crypto winter is expected to be milder than previous ones. In the worst-case scenario, Bitcoin’s price may drop by 50% from its peak, to around $63,000.
See also: "Bitcoin price today: steady at $102.5K"
Українська
Русский
English

