Value Today of $1000 Invested 5 Years ago (Bitcoin and Stock)

[Lucius]

5 years ago it would have been somewhere in late 2016 when the price of BTC was close to $1000, so the OP should have been more precise because the profit in that case is 50% lower. Namely, there is a big difference in terms of price in just 2 years, because during 2015 the price of one BTC was even below $200, so if someone invested $1000 at that time and bought about 5 BTC, today that investment would be worth about $125 000.

If we went even further into the past, more precisely in 2013 - then the ROI would be higher than 9000% today. Stocks and BTC are two different worlds, and each of these companies has a much higher risk of failing at any time for any reason.

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[vaultman]

I think the list is missing alternative cryptocurrencies. Since if we take a five-year period, then in my opinion, more money could be made on alternative cryptocurrencies. The price of the same Litecoin reached 1.4$ in 2015, and now it is trading at 120$ and above, and there are a lot of such examples. Bitcoin in this case acted as the flagship behind which the rest of the cryptocurrencies were moving, and by itself it has grown a lot, but not as much as some alternative cryptocurrencies.

[mersal]

If you invested $1,000 in BTC and Stock 5 years ago, here’s how much you’d have now:

Bitcoin : $51,269
Shopify : $46,905
Etsy : $22,320
Nvidia: $15,688
Tesla: $14,010
PayPal: $6,471
Apple: $4,850
Amazon : $4,718
Netflix : $4,385
Microsoft : $3,790
Facebook : $2,553
Google : $2,290

Still people think apple stocks are the best to invest in 2020 which clearly shows that how much people are unaware of better things happening in the economical world.The ROI os bitcoin is quite interesting in the 5 years comparison and it would be more exciting when we take a look at 10 year comparison. Some economical experts still talking that bitcoin is the riskiest investment.

[BrianH]

Interesting comparison, it would be nice to see a volatility index alongside it. It would also be interesting to see a year on year comparison as well, to see how much of the gains came from certain years. Hindsight is a wonderful thing, but I still think it is sensible to have a fair chunk invested in the stock market in dividend bearing companies - that way you have a steady return from company profits without having to sell anything off.

Dividend bearing companies are generally terrible stock options. Yes, it's nice to bank that guaranteed return, however if you look at their long term stock market trends, their growth is generally so anemic that you are losing money over time (or barely growing) as the stock price decreases.

Bitcoin 100%. The US stock market is an artificial bubble that will burst when they inflate themselves into Venezuela.

[sheenshane]

Comparing Bitcoin and Shopify,

If you had 1,000 USD 5 years ago, and as a person who seeks security, Bitcoin wasn't a viable option.  I'm basing it on an average person who works 8 hours a day.  Bitcoin was very volatile during those days and also, people don't know how it works and it was very new, immature.

But Shopify was very promising since day 1.  Because of the proof their competitors had and was most likely raised a lot of people to poverty
than Bitcoin. And on the other side, Bitcoin really is rewarding, but only for those who believed and knew the potential.

[jaysabi]

It would be also a good comparison if you will make another comparison if someone invests with the same amount 10 years ago. There will be a massive gains for bitcoin on that chart and looking into other stocks, I don't think that there be any of them that can par with bitcoin.
Even with this simple chart for 5 years ago, shopify was the one that's close to it but that's not yet enough to par bitcoin. I've thought that Amazon took a lot of gains for the past 5 years and would be at the top of this but I'm wrong.

No one was investing $1000 in bitcoin ten years ago, so there's really no point in running the calculation because it's a hypothetical with no real world implication. The people who made millions either mined coins back when it was easy to do so, or bought them a few bucks at a time, which even then was no better than buying a virtual in-game currency with about as much real world use for it too. That it became valuable is just dumb luck.

[exstasie]

No one was investing $1000 in bitcoin ten years ago, so there's really no point in running the calculation because it's a hypothetical with no real world implication.

Sure they were. Ten years ago, BTC was entering it's first bubble. There were lots of people chucking in a thousand bucks. Here's one guy I remember from my early days. I used to follow his "Gold collapsing. Bitcoin UP" thread before I joined the forum:

i would like to buy $1000 in BTC from an honest trader.  can someone help me?  

Anyway, the point is about the potential of high growth investments. Bitcoin and early stage tech startups were definitely similar in that way.

[bryant.coleman]

OP is not making the correct comparison. In 1997, Kleiner Perkins got 14% ownership of Amazon, for $8 million. At current prices, the 14% stake would be worth $223 billion, which represents an increase of 2,782,500%. Similarly, in 2005 Yahoo got 40% ownership of Alibaba for $1 billion. The same stake would be worth $255 billion at current levels. This represents a ROI of 25,500%. I can give you dozens of similar examples.

[darewaller]

It is scary to think how we are getting a lot more house tied because of economical situations, probably some preference as well but I assume economy plays a big role as well. Etsy got bigger, why? Because buying the same thing on some store would cost more, and etsy is unique as well so it is a lot better, same for shopify, buying things at home, for far cheaper as well.

Netflix got bigger, because going to a movie is now a lot more expensive and also a lot more tiring, whereas you just netflix and chill at home. Nvidia, amazon, facebook, google there are just too many companies that shows that we like to stay at home and those companies got bigger. Sure tesla is in there as well but that is probably because they changed the car industry a lot. On the other hand bitcoin increasing a lot is also another reason why we are moving more digital as well.

[nancy]

We all know that almost everyone would sell their crypto investments much earlier. In beg of 2018 maybe

[CarnagexD]

5 years is a heck of a long time and not everyone would have the chance or the liberty to keep their investments for that long. Let alone $1000 which in some countries are a huge sum of money. A volatility chsrt would justify the things I mentioned above. Although it does feel kinda bad that I hadn't held on to my coins and assets which could've raised me to the upstream by now. We do miss all the chances we do not take.

Comparing Bitcoin and Shopify,

If you had 1,000 USD 5 years ago, and as a person who seeks security, Bitcoin wasn't a viable option.  I'm basing it on an average person who works 8 hours a day.  Bitcoin was very volatile during those days and also, people don't know how it works and it was very new, immature.

But Shopify was very promising since day 1.  Because of the proof their competitors had and was most likely raised a lot of people to poverty
than Bitcoin. And on the other side, Bitcoin really is rewarding, but only for those who believed and knew the potential.

This too! Not everyone had the chance to even know bitcoin way back in 2010, and $1000 is a big amount of money, so they would most probably have used the money for something else.

[Silberman]

If you invested $1,000 in BTC and Stock 5 years ago, here’s how much you’d have now:

Bitcoin : $51,269
Shopify : $46,905
Etsy : $22,320
Nvidia: $15,688
Tesla: $14,010
PayPal: $6,471
Apple: $4,850
Amazon : $4,718
Netflix : $4,385
Microsoft : $3,790
Facebook : $2,553
Google : $2,290

It would be nice to get to see the source of the data but still this is impressive growth, if anything I am surprised there are some stocks that are kind of close to the performance of bitcoin but that is because you are comparing the performance of the last 5 years, if this was a comparison of the first decade of bitcoin against almost any other asset we will see that nothing has been more profitable than bitcoin during the past decade, and there are reasons to think that this decade could still see bitcoin being the best performing asset in the entire world.

[bryant.coleman]

It would be nice to get to see the source of the data but still this is impressive growth, if anything I am surprised there are some stocks that are kind of close to the performance of bitcoin but that is because you are comparing the performance of the last 5 years, if this was a comparison of the first decade of bitcoin against almost any other asset we will see that nothing has been more profitable than bitcoin during the past decade, and there are reasons to think that this decade could still see bitcoin being the best performing asset in the entire world.

You should compare Apple to Apple and not with Oranges. Many of the companies that are listed by the OP went for their IPOs, years after they were formed. On the other hand, Bitcoin was first mined in 2009 and it was traded for the first time within a few months after that. If you really want to compare, then the comparison should be made with corporations such as Apple and Amazon after taking their pre-IPO prices.

[poodle63]

the people who bought either these stocks or crypto at the time when these still arent mainstream thing definitely have the guts and money to do so. if time were rewinded i'd sure 100℅ that most of us still doesnt even give a glance to all these stocks but instead fulfilling our primary needs. Seeing from different point of view, I guess bitcoin price as of now is really justified considering how stocks are doing the same feat.

[slapper]

The way bitcoin has performed for 5 years is outstanding. Not many assets give such a great return as bitcoin does. But you can deny the truth that many people have lost their money in bitcoin. In spite of being pumped recently, the number of people who hate bitcoin still increases.

It would be nice to get to see the source of the data

I guess you can calculate the price by yourself. It is just simple math. Though this guy might take the data from the internet

[magneto]

This is a completely invalid way to predict future price movements/evaluate fundamentals/analyse the soundness of each investment.

IMHO, Bitcoin should not even be viewed in the same category as these other assets such as equities. Bitcoin should be seen as a store of value, and its fundamentals should be evaluated by adoption rates, network use, and its ability to hold up against inflation. Company valuations are completely different - the general accepted standard is to evaluate it based on projected future cash flows.

To compare them based on price gains is utterly ridiculous and you go nowhere with it. "Mr. Market" is unpredictable and short term gains (as BTC has experienced over the past few months) can skew results significantly.

[samcrypto]

Stocks are indeed profitable but looking how Bitcoin dominates the whole market, I regret not to know Bitcoin on that early stage. Anyway, we still have time to invest and look forward for the next five years since many still believe that Bitcoin can go higher as much as $100k, better not to lose the chance again.

[Sithara007]

the people who bought either these stocks or crypto at the time when these still arent mainstream thing definitely have the guts and money to do so. if time were rewinded i'd sure 100℅ that most of us still doesnt even give a glance to all these stocks but instead fulfilling our primary needs. Seeing from different point of view, I guess bitcoin price as of now is really justified considering how stocks are doing the same feat.

Need to remember that a lot of people invested in Apple, Amazon.etc, when the stocks were not even available. Venture capitalists made their investment many years before these corporations got listed in the stock exchange. And obviously they got better returns when compared to the others who invested in the IPO, or in the stock after it was listed. The current phase of Bitcoin can also be compared to this pre-IPO phase for the corporations.

[New_order]

Hmm, very interesting, can someone tell me the right place for stock investment? I've been trying to find the right channel I will be glad if someone can guide me to the right channel, the problem with many investors is holding for long term without looking back, not many can do this

[Twentyonepaylots]

Really interesting growth. Some people may get the wrong idea about this post and think it is some more reason for them regretting not buying these assets but to them I say this saying, "The best time to invest was 10 years ago. The other is now." so even at this high of a growth we can still expect more to come in the future. Be inspired to turn your life around away from the 9-5 shift that barely gets you anywhere.

Great post with an Interesting correlation and I can say gladly that bitcoin is as yet on the top. I wish some bitcoins haters like the government and bank can check this Interesting correlation and take their conversation back against the bitcoins. They ought to acknowledge that bitcoin is the future and can assist us with improving our future. There was a time when nobody like bitcoin and consistently chuckles at whatever point somebody talks about it. However, presently bitcoins snicker on us, and the majority of us lament for not contributing to it.

A lot of entities are already seeing the power of bitcoin and have FOMOed since last March, ever boosting the price of bitcoin to the heights it reached as of today. Governments have been doing their best and hardest to impose regulations on cryptocurrencies to control them and profit from them but to no avail.