What If You Invested $1,000 in Bitcoin 5 Years Ago? Gold and US Stocks Both Did Better

If you had invested $1,000 in Bitcoin (CRYPTO: BTC) five years ago, on October 8, 2021, it would now be worth about $1,563—a 56% increase. In comparison, the same $1,000 invested in the SPDR S&P 500 ETF Trust (NYSEARCA: SPY) would have grown to about $1,776, while an investment in SPDR Gold Shares (NYSEARCA: GLD) would have increased to around $2,328. This places Bitcoin last among the three options.

So, why did Bitcoin, often hailed as the standout growth asset of the past decade, lag behind both gold and U.S. stocks? Let’s explore what Bitcoin investors experienced to see even that modest return.

Bitcoin’s Five-Year Return Started Near Its 2021 Peak

On October 8, 2021, Bitcoin traded at about $53,893, up over 80% since the start of that year. Just a month later, it reached an all-time high of nearly $69,000. Anyone who bought Bitcoin during this time essentially purchased near the peak of that market cycle.

Investors who entered the market near the height of Bitcoin’s value began their five-year journey from a high price point, which negatively affects their overall return. For instance, a $1,000 investment made a year earlier, in October 2020, when Bitcoin was priced around $11,000, would now be worth about $7,700. This illustrates how the starting date can greatly influence perceived investment success.

Bitcoin Holders Saw $1,000 Fall to $290 Before It Recovered

In 2022, the crypto market faced a brutal downturn, especially after the FTX collapse in November, which drove Bitcoin’s value to about $15,500. At that lowest point, a $1,000 investment would have fallen to roughly $290—a staggering 71% loss.

However, Bitcoin did rebound, reaching an impressive $126,080 on October 6, 2025, briefly pushing the investment to about $2,340—more than the gold investment is worth today. Yet, Bitcoin’s value later dipped again to around $57,717 in 2026, bringing that investment back down to roughly $1,070, near its original starting point.

Thus, the $1,563 valuation today belongs only to those who held through a 71% drop and later saw a 134% increase that faded to a mere 7%. Investors who sold during either downturn would have ended up with far less.

Gold and the S&P 500 Earned More With Smaller Drops

Meanwhile, the S&P 500 returned about 78%, while gold gained about 133% over the same five years. The S&P 500 fell roughly 25% from its peak in January 2022 to its low in October 2022, while gold dropped around 20% throughout 2022. Neither fell as steeply as Bitcoin, which dropped 71%.

Additionally, gold benefitted from a historic surge, marking its best year in 45 years in 2025 and surpassing $5,000 an ounce in 2026.

Investors generally tolerate larger drops when they anticipate higher returns. Over this period, Bitcoin holders faced the steepest decline and ended up with the smallest gains.

What If You Had Invested $1,000 in Bitcoin Five Years Ago Instead of Gold or Stocks?

If you had invested $1,000 in Bitcoin five years ago, it would have grown to about $1,563, compared to $1,776 in the S&P 500 fund and $2,328 in gold. Bitcoin holders also endured a significant 71% drop to achieve this return, making it the least rewarding asset given its higher risk during this timeframe.

However, these results are largely influenced by the investment’s starting point. An investor who entered the market in October 2020 would be significantly ahead of both the S&P 500 and gold, showing how Bitcoin’s success can depend heavily on your entry timing and your willingness to hold through challenging market periods.

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