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    S&P 500 Rises 106% Since 2020, Yet Falls Short Compared to Bitcoin

    Ethan CarterBy No Comments3 Mins Read
    S&P 500 Rises 106% Since 2020, Yet Falls Short Compared to Bitcoin

    Billionaire hedge fund manager Warren Buffett has long advocated for investing in the S&P 500, but recent statistics reveal that since 2020, this index has lagged behind Bitcoin by approximately 88%. 

    In a post on Oct. 5 on X, co-founder of stock market data newsletter Opening Bell Daily, Phil Rosen, pointed out that while the S&P 500 has increased by 106% in USD value since 2020, it has “collapsed” dramatically in BTC terms, much to the delight of Bitcoin enthusiasts. 

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    The S&P 500 has experienced an 88% decline in nominal BTC value since 2020. Source: Phil Rosen

    The Standard and Poor’s 500, or S&P 500, is a stock market index that tracks the performance of 500 leading companies listed on U.S. stock exchanges. 

    Since its inception in 1957, the index has achieved an annual inflation-adjusted return of about 6.68%, typically exceeding the average inflation rate in the U.S. 

    This may explain why the renowned U.S. entrepreneur Warren Buffett has frequently endorsed the S&P 500 index as the ideal choice for average investors, and notably supports a 90/10 investment strategy — allocating 90% of a portfolio to the S&P 500 and 10% to short-term U.S. Treasury bonds. 

    S&P 500 breaks records, but so does Bitcoin

    The S&P 500 continues to set new records in 2025, currently standing at $6,715.79, having climbed 14.43% since the beginning of the year. 

    Conversely, Bitcoin has surged 32% this year, recently reaching $125,000 for the first time. 

    In comparative terms, as reported by OfficialData.Org, a $100 investment in the S&P 500 from early 2020 would grow to around $209.85 by July 2025, while a $100 investment in Bitcoin would amount to $1,473.87.

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    Growth on a $100 S&P 500 investment since 2020. Source: OfficialData.Org

    Related: Bitcoin corrects from $125K all-time high: Where will BTC price bottom?

    Differences between Bitcoin and S&P 500

    Nonetheless, comparing the two investments isn’t entirely equitable. 

    The S&P 500 serves as a comprehensive benchmark for the U.S. stock market, capturing the performance of the 500 largest public companies in the country, an index that is regularly updated and regarded as a lower-risk, lower-reward investment.