- A recent Cryptocompare report states Bitcoin outperformed the S&P 500 and Nasdaq in September.
- Ethereum was touted as the worst performer despite the Merge event.
- Investors seem to be dumping fiat currencies for Bitcoin as volatility ensues.
Despite a negative 3.11% return in September for Bitcoin (BTC), the flagship cryptocurrency remained ahead of the 9.34 % and 10.5 % negative return posted by the S&P 500 and Nasdaq, respectively, according to the latest report from analytics platform Cryptocompare.
Ethereum, on the other hand, is named as the worst performer among the four analyzed cryptocurrencies in the research, as the anticipated Merge ended up being a “‘buy the rumor, sell the news event,” per the report.
The report cited Ethereum’’s August and September performances as justification for this claim. In spite of having its highest risk-adjusted returns in August, ETH ultimately had its “biggest decline” in September, which was also the month when the Ethereum blockchain moved to a proof-of-stake (PoS) consensus method.
Out of the four cryptocurrencies monitored, only Solana (SOL), with a monthly return of 5.59%, and gold, with 2.87%, outperformed BTC in terms of risk-adjusted returns.
On a similar note, Mike McGlone, senior commodity strategist at Bloomberg Intelligence, stated that Bitcoin is gaining ground compared to commodities and tech companies like Tesla in a Bloomberg Crypto Outlook study published on October 5.
The Cryptocompare analysis also reported that Bitcoin was the “least volatile asset and the most dominant” of the four cryptocurrencies monitored during the month of September when comparing their volatility.
Meanwhile, the report’s analysis of USDT and U.S. dollar traded volumes hints at investors fleeing to Bitcoin when other currencies lose value. This may indicate that “market participants are piling into BTC following recent volatility in fiat currencies,” as the report put it.
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