If You Invested $1,000 In Bitcoin At Its COVID-19 Pandemic Low, Here's How Much You'd Have Now – Benzinga – Benzinga

Investors who bought stocks during the COVID-19 market crash in 2020 have generally experienced some big gains in the past two years. But there is no question some big-name stocks performed better than others since the pandemic bottom.
Bitcoin's Big Run: As strong as the stock market has been since it bottomed on March 23, 2020, Bitcoin (CRYPTO: BTC) has been much stronger.
Several factors led to a surge in Bitcoin buying in 2020. First, investors concerned about the potential long-term damage that trillions of dollars in federal stimulus could do to the value of the dollar have flooded into Bitcoin as a potential safe-haven play. Second, younger Americans receiving three rounds of direct stimulus payments have poured a significant chunk of that cash into investments, including Bitcoin.
After starting 2020 at around $7,200, Bitcoin prices had reached $10,000 by mid-February.
Related Link: Good As Gold: Investors Haven't Given Up On The Traditional Safe Haven
By the beginning of March, the volatile cryptocurrency was back down to around $8,600 after news of the coronavirus spreading in China prompted concerns about a U.S. pandemic.
When the stock market bottomed in March, Bitcoin investors were feeling the pain as well. Investors who had purchased Bitcoin as a COVID-19 flight-to-safety trade were down big with Bitcoin falling all the way down to $3,948.92 on March 13, 2020. However, once the government stimulus payments started flowing, Bitcoin regained its swagger.
By May 31, Bitcoin prices were back above $10,000, and they made it to new all-time highs above $20,000 in December 2020, almost exactly three years after its last new high, as per data from Benzinga Pro.
Bitcoin In 2022, Beyond: Bitcoin eventually made it as high as $69,000 in November 2021 before pulling back to $42,283 today.
Still, investors who bought Bitcoin on the day it hit its pandemic low and held on have generated a huge return on their investment. In fact, $1,000 in Bitcoin purchased on March 13, 2020, would be worth about $8,183 today.
Given the rise in Bitcoin prices in the past two years coupled with the loss of stimulus payment support in 2022, some investors are understandably growing concerned about a potential repeat of the 2018 sell-off. Bitcoin has experienced three boom-to-bust drawdowns of more than 80% in the past decade, and a similar sell-off this time around could send its price tumbling back down to around the $13,800 level.
Download the mobile app now, available on iOS and Android.
Click here, or sign up for our newsletter to explore more of Benzinga’s Cryptocurrency market coverage, in-depth coin analysis, data, and reporting.
For the latest in financial news, exclusive stories, memes follow Benzinga on Twitter, Facebook & Instagram. For the best interviews, stock market talk & videos, subscribe to Benzinga Podcasts and our YouTube channel.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Posted-In:
$10 of crypto when you trade $100
*U.S. residents only*
eToro USA LLC; Investments are subject to market risk,
including the possible loss of principal.
$27 of crypto when you complete education
$25 in BTC when you deposit $100
2 free stocks when you make ANY deposit

© 2022 Benzinga | All Rights Reserved
Advertiser Disclosure: TD Ameritrade, Inc. and Accretive Capital LLC are separate, unaffiliated companies and are not responsible for each other’s services and products.
Editorial Disclosure: Reviews are as determined by Benzinga Money. Opinions expressed here are solely the author’s and have not been reviewed, approved or otherwise endorsed by reviewers.

source