BTC hodlers outperformed crypto funds by 69% in H1 2023: 21e6 Capital AG
The classic buy and hold, or HODL approach to Bitcoin (BTC) outperformed the majority of crypto funds by 68.8% in the first half (H1) of 2023.
According to data from Switzerland-based investment adviser 21e6 Capital AG, on average, crypto funds generated returns of 15.2% in the first half of 2023 (Jan.1 to June 30) , compared to the roughly 84% price gain BTC saw in the same period.
Crypto funds on average generated 15.2% return in the first half of 2023 lol pic.twitter.com/vb8pwYfiX9
Emphasizing the significance of such via an Aug. 2 half-year report, 21e6 Capital AG’s head of marketing Maximilian Bruckner outlined that crypto funds have been “frequently able to significantly outperform Bitcoin in previous bull runs.”
Bruckner attributed much of the underwhelming performance of crypto funds in 2023 to the challenging market conditions and significant amount of cash they had on hand in late 2022.
Following the implosion of FTX and many other crypto projects last year, the report suggested that many crypto funds opted to take risk off the table and develop cash buffers, therefore missing out on a significant BTC price rally in H1 2023.
“Due to the general sentiment left behind by the end of 2022, many funds had larger-than-normal cash positions. Furthermore, most major altcoins also underperformed Bitcoin – a tough environment for funds,” the report adds.
At the time of writing, BTC is priced at roughly $29,000 as it continues to struggle to hold above the $30,000 region, which has only been briefly surpassed on a couple of occasions this year.
Related: Price analysis 8/4: BTC, ETH, BNB, XRP, DOGE, ADA, SOL, MATIC, LTC, DOT
Despite this, current prices mark a 75% price gain for the asset since Jan. 1, as per
Read more on cointelegraph.com
