The Coronavirus Pandemic preceded by the global economic slowdown has resulted in multiple jolts to financial assets across the globe. Most of the markets are crawling, to say the least, but Bitcoin has performed better than anything else, thinks Anthony Pompliano, co-founder and Partner at Morgan Creek Digital. In a tweet on Tuesday, Pompliano claimed that S&P grew by 1%, NASDAQ by 2%, Gold by 11%, while Bitcoin grew by a whopping 35%.
2020 Year-to-date Performance Summary
Bitcoin has been the best performing asset during the recent crisis. It did exactly what it was supposed to do.
— Pomp 🌪 (@APompliano) June 9, 2020
While this may sound encouraging to potential investors, Pompliano has been criticized by a number of community members. For instance, an account named Institutional Allocator termed Pompi’s claims as untrue. The user shared a chart that showed that since the lock February’s peak price of $10,500, the price graph had gone down. Bitcoin is currently priced at $9,700 apiece, which is far from what the popular crypto influencer claims.
Completely untrue and here’s a chart to show you.
Crisis started in mid February. Bitcoin gave no downside protection and was highly correlated with the market. pic.twitter.com/nRSPNQsmt2
— Institutional Allocator (@InstAllocator) June 9, 2020
Pompliano, on the other hand, replied, arguing that the global crisis began before the US lockdown in February, citing the example of the lockdown of Chinese cities in early January. Prices at the beginning of January were hovering around $7,300 and, by the end of the month, reached over $9,500. This indicates that from the beginning of the year, Bitcoin grew exactly as Pompliano claimed.
However, in the first quarter of FY2020-2021, the performance of Bitcoin has been at par with other assets, and this is what should matter at the moment. Secondly, as many critics of BTC claim, Bitcoin has been on a bumpy ride for the last two years, and stability hasn’t been on its side.