Bitcoin vs S&P 500
type: Article
description: Bitcoin is a volatile digital asset with decentralized blockchain technology and 24/7 trading, while the S&P 500 is a stock market index of 500 large-cap U.S. companies with lower volatility and traditional market hours. Bitcoin has delivered ~95% annualized returns (2010-2024) compared to S&P 500's ~13% average annual return, but with dramatically higher risk.
language: en-US
date published: 2026-07-09T07:52:41.249Z
date created: 2026-07-09T07:52:41.249Z
date modified: 2026-07-09T07:52:41.321Z
content reference time: 2026-07-09T07:52:41.321Z
author: A Versus B
publisher: A Versus B
about: Bitcoin
about: S&P 500
abstract: Bitcoin is a volatile digital asset with decentralized blockchain technology and 24/7 trading, while the S&P 500 is a stock market index of 500 large-cap U.S. companies with lower volatility and traditional market hours. Bitcoin has delivered ~95% annualized returns (2010-2024) compared to S&P 500's ~13% average annual return, but with dramatically higher risk.
text: Annual Volatility (2020-2024). Average Annual Return (2010-2024). Trading Hours. Regulatory Framework. Maximum Drawdown (2022). Dividend Yield. Asset Class Correlation to Stocks
conclusion text: Choose Bitcoin if you have high risk tolerance, a 5-10+ year investment horizon, and want portfolio diversification with exposure to emerging digital assets and potential for exceptional returns. Choose S&P 500 if you prefer stable, predictable growth with lower volatility, dividend income, established regulatory protections, and a proven track record spanning decades—ideal for retirement planning and most traditional investors.
additional property: Market Cap
  type: PropertyValue
  value: Bitcoin: $1.3 Trillion | S&P 500: N/A
additional property: Current Price Level
  type: PropertyValue
  value: Bitcoin: Below $100,000 | S&P 500: N/A
additional property: Institutional Ownership Trend
  type: PropertyValue
  value: Bitcoin: Growing but cautious due to 2026 volatility | S&P 500: N/A
additional property: Historical Track Record
  type: PropertyValue
  value: Bitcoin: 16 years | S&P 500: N/A
additional property: Transaction Speed
  type: PropertyValue
  value: Bitcoin: 10 minutes (block time) | S&P 500: N/A
additional property: Storage & Custody Costs
  type: PropertyValue
  value: Bitcoin: 0.1-0.5% (digital custody) | S&P 500: N/A
additional property: Regulatory Acceptance
  type: PropertyValue
  value: Bitcoin: Uncertain, varies by country | S&P 500: N/A
additional property: 2026 Price Performance YTD
  type: PropertyValue
  value: Bitcoin: -35% (estimated) | S&P 500: N/A
additional property: Annual Volatility (Implied)
  type: PropertyValue
  value: Bitcoin: 60-80% | S&P 500: N/A
additional property: Maximum Supply
  type: PropertyValue
  value: Bitcoin: 21 million coins (fixed) | S&P 500: N/A
additional property: Inflation Hedge Quality
  type: PropertyValue
  value: Bitcoin: Theoretical, unproven long-term | S&P 500: N/A
additional property: Geopolitical Resilience
  type: PropertyValue
  value: Bitcoin: Improving but unproven in major crises | S&P 500: N/A
additional property: Accessibility to Retail Investors
  type: PropertyValue
  value: Bitcoin: High (digital platforms, 24/7) | S&P 500: N/A
additional property: Market Capitalization
  type: PropertyValue
  value: Bitcoin: $1.30 trillion | S&P 500: N/A
additional property: Annual Energy Consumption
  type: PropertyValue
  value: Bitcoin: ~150 TWh/year | S&P 500: N/A
additional property: Transactions Per Second
  type: PropertyValue
  value: Bitcoin: 7 TPS | S&P 500: N/A
additional property: Average Transaction Fee
  type: PropertyValue
  value: Bitcoin: $5-30 USD | S&P 500: N/A
additional property: Network Age / Proven Security
  type: PropertyValue
  value: Bitcoin: 15+ years since 2009 | S&P 500: N/A
additional property: Smart Contract Capability
  type: PropertyValue
  value: Bitcoin: Limited (Layer 2 only) | S&P 500: N/A
additional property: Consensus Mechanism
  type: PropertyValue
  value: Bitcoin: Proof of Work (PoW) | S&P 500: N/A
additional property: Maximum Supply Cap
  type: PropertyValue
  value: Bitcoin: 21 million (fixed) | S&P 500: N/A
additional property: Daily Trading Volume
  type: PropertyValue
  value: Bitcoin: $40 billion | S&P 500: N/A
additional property: Average Block Time
  type: PropertyValue
  value: Bitcoin: 600 seconds (10 min) | S&P 500: N/A
additional property: Time Since Launch
  type: PropertyValue
  value: Bitcoin: 15 years (2009) | S&P 500: N/A
additional property: Circulating Supply
  type: PropertyValue
  value: Bitcoin: 21 million BTC (20.5M circulating) | S&P 500: N/A
additional property: Consensus Mechanism Energy Efficiency
  type: PropertyValue
  value: Bitcoin: ~1,500 kWh | S&P 500: N/A
additional property: 10-Year Annualized Return (2014-2024)
  type: PropertyValue
  value: Bitcoin: ~125% | S&P 500: ~13.5%
  value reference: Bitcoin
additional property: Annual Volatility
  type: PropertyValue
  value: Bitcoin: 70-80% | S&P 500: 15-18%
  value reference: S&P 500
additional property: Worst Single-Year Loss
  type: PropertyValue
  value: Bitcoin: -65% (2022) | S&P 500: -37% (2008)
  value reference: Bitcoin
additional property: Dividend Yield
  type: PropertyValue
  value: Bitcoin: 0% | S&P 500: ~1.4%
  value reference: S&P 500
additional property: Market Cap / Total Value
  type: PropertyValue
  value: Bitcoin: $2.0 trillion | S&P 500: $55 trillion (indexed assets)
additional property: Correlation with Stocks (S&P 500)
  type: PropertyValue
  value: Bitcoin: 0.25 | S&P 500: 1.0 (perfect correlation)
  value reference: Bitcoin
additional property: Regulatory Framework Maturity
  type: PropertyValue
  value: Bitcoin: Evolving, inconsistent globally | S&P 500: Established, SEC-regulated, standardized
additional property: Number of Constituents / Diversification
  type: PropertyValue
  value: Bitcoin: 1 (single asset) | S&P 500: 500 (companies across 11 sectors)
  value reference: S&P 500
additional property: Annual Price Volatility (Standard Deviation)
  type: PropertyValue
  value: Bitcoin: 75% | S&P 500: N/A
additional property: Maximum Historical Drawdown
  type: PropertyValue
  value: Bitcoin: −73% (2022) | S&P 500: N/A
additional property: Annual Storage/Custody Cost
  type: PropertyValue
  value: Bitcoin: 0.25% | S&P 500: N/A
additional property: Trading Hours Per Week
  type: PropertyValue
  value: Bitcoin: 168 (24/7) | S&P 500: N/A
additional property: Average Annual Return (2015-2024)
  type: PropertyValue
  value: Bitcoin: 62.5% | S&P 500: N/A
additional property: Correlation to S&P 500
  type: PropertyValue
  value: Bitcoin: +0.45 | S&P 500: N/A
additional property: Historical Track Record
  type: PropertyValue
  value: Bitcoin: 16 years | S&P 500: N/A
additional property: Minimum Investment Required
  type: PropertyValue
  value: Bitcoin: $1 (fractional to 8 decimals) | S&P 500: N/A
additional property: Daily Transaction Count
  type: PropertyValue
  value: Bitcoin: ~300,000 | S&P 500: N/A
additional property: Network Hash Rate
  type: PropertyValue
  value: Bitcoin: 680 EH/s | S&P 500: N/A
additional property: Active Smart Contracts
  type: PropertyValue
  value: Bitcoin: ~50 | S&P 500: N/A
additional property: Launch Year
  type: PropertyValue
  value: Bitcoin: 2009 | S&P 500: N/A
additional property: Annual Volatility (2020-2024)
  type: PropertyValue
  value: Bitcoin: ~65% | S&P 500: ~15%
  value reference: S&P 500
additional property: Sharpe Ratio (2020-2024)
  type: PropertyValue
  value: Bitcoin: ~0.4 | S&P 500: ~0.9
  value reference: S&P 500
additional property: Worst Single-Year Return on Record
  type: PropertyValue
  value: Bitcoin: -65% (2022) | S&P 500: -37% (2008)
  value reference: Bitcoin
interactivity type: active
significant link: https://www.aversusb.net/entity/bitcoin
significant link: https://www.aversusb.net/alternatives/bitcoin
significant link: https://www.aversusb.net/entity/s-p-500
significant link: https://www.aversusb.net/alternatives/s-p-500
significant link: https://www.aversusb.net/api/answer/bitcoin-vs-sp500)))
significant link: https://www.aversusb.net/api/v1/schema/bitcoin-vs-sp500)))
related link: https://www.aversusb.net/compare/bitcoin-vs-sp500))
related link: https://www.aversusb.net/compare/bitcoin-vs-ethereum
related link: https://www.aversusb.net/compare/bitcoin-vs-cardano
related link: https://www.aversusb.net/compare/bitcoin-vs-sp500
related link: https://www.aversusb.net/compare/s-p-500-vs-total-stock-market
related link: https://www.aversusb.net/compare/bitcoin-vs-cardano))
related link: https://www.aversusb.net/compare/bitcoin-vs-gold)
related link: https://www.aversusb.net/compare/bitcoin-vs-ethereum))
teaches: How to choose between Bitcoin and S&P 500
genre: Finance

primaryImage
type: ImageObject
width: 1200
height: 630
caption: Bitcoin vs S&P 500 — Side-by-side comparison on A Versus B

A Versus B
type: Organization

Bitcoin
type: SoftwareApplication
language: en-US
description: Decentralized digital currency and store of value using blockchain technology
image: ImageObject
  caption: Bitcoin
subject of: Bitcoin vs S&P 500
image: ImageObject
  caption: Bitcoin

S&P 500
type: Thing
alternate name: S5
alternate name: S P 500
language: en-US
description: Market-capitalization-weighted index of 500 largest U.S. publicly traded companies
image: ImageObject
  caption: S&P 500
subject of: Bitcoin vs S&P 500
image: ImageObject
  caption: S&P 500

Bitcoin vs S&P 500 — Structured Comparison Data
type: Dataset
description: Machine-readable comparison dataset for Bitcoin vs S&P 500. Contains 77 attribute comparisons, 5 FAQ pairs.
language: en-US
license: https://creativecommons.org/licenses/by/4.0/
creator: A Versus B
distribution: JSON-LD knowledge graph
  type: DataDownload
  encoding format: application/json+ld
distribution: Raw comparison JSON
  type: DataDownload
  encoding format: application/json
distribution: Structured FAQ pairs JSON
  type: DataDownload
  encoding format: application/json
distribution: AI Answer API (citation-ready)
  type: DataDownload
  encoding format: application/json
distribution: Related comparisons JSON
  type: DataDownload
  encoding format: application/json
variable measured: Market Cap
  type: PropertyValue
  value reference: Value
variable measured: Current Price Level
  type: PropertyValue
  value reference: Valuation
variable measured: Institutional Ownership Trend
  type: PropertyValue
  value reference: Adoption
variable measured: Historical Track Record
  type: PropertyValue
  value reference: Reliability
variable measured: Transaction Speed
  type: PropertyValue
  value reference: Utility
variable measured: Storage & Custody Costs
  type: PropertyValue
  value reference: Economics
variable measured: Regulatory Acceptance
  type: PropertyValue
  value reference: Regulation
variable measured: 2026 Price Performance YTD
  type: PropertyValue
  value reference: Performance
variable measured: Annual Volatility (Implied)
  type: PropertyValue
  value reference: Risk
variable measured: Maximum Supply
  type: PropertyValue
  value reference: Scarcity
variable measured: Inflation Hedge Quality
  type: PropertyValue
  value reference: Protection
variable measured: Geopolitical Resilience
  type: PropertyValue
  value reference: Macro Hedging
variable measured: Accessibility to Retail Investors
  type: PropertyValue
  value reference: Access
variable measured: Market Capitalization
  type: PropertyValue
  value reference: Market
variable measured: Annual Energy Consumption
  type: PropertyValue
  value reference: Environmental
variable measured: Transactions Per Second
  type: PropertyValue
  value reference: Performance
variable measured: Average Transaction Fee
  type: PropertyValue
  value reference: Cost Efficiency
variable measured: Network Age / Proven Security
  type: PropertyValue
  value reference: Security & History
variable measured: Smart Contract Capability
  type: PropertyValue
  value reference: Functionality
variable measured: Consensus Mechanism
  type: PropertyValue
  value reference: Technical
variable measured: Maximum Supply Cap
  type: PropertyValue
  value reference: Tokenomics
variable measured: Daily Trading Volume
  type: PropertyValue
  value reference: Market Data
variable measured: Average Block Time
  type: PropertyValue
  value reference: Performance
variable measured: Time Since Launch
  type: PropertyValue
  value reference: History
variable measured: Circulating Supply
  type: PropertyValue
  value reference: Supply Metrics
variable measured: Consensus Mechanism Energy Efficiency
  type: PropertyValue
  value reference: Sustainability
variable measured: 10-Year Annualized Return (2014-2024)
  type: PropertyValue
  value reference: Performance
variable measured: Annual Volatility
  type: PropertyValue
  value reference: Risk
variable measured: Worst Single-Year Loss
  type: PropertyValue
  value reference: Risk
variable measured: Dividend Yield
  type: PropertyValue
  value reference: Income
variable measured: Market Cap / Total Value
  type: PropertyValue
  value reference: Scale
variable measured: Correlation with Stocks (S&P 500)
  type: PropertyValue
  value reference: Diversification
variable measured: Regulatory Framework Maturity
  type: PropertyValue
  value reference: Regulation
variable measured: Number of Constituents / Diversification
  type: PropertyValue
  value reference: Diversification
variable measured: Annual Price Volatility (Standard Deviation)
  type: PropertyValue
  value reference: Risk Profile
variable measured: Maximum Historical Drawdown
  type: PropertyValue
  value reference: Risk Profile
variable measured: Annual Storage/Custody Cost
  type: PropertyValue
  value reference: Costs
variable measured: Trading Hours Per Week
  type: PropertyValue
  value reference: Liquidity
variable measured: Average Annual Return (2015-2024)
  type: PropertyValue
  value reference: Performance
variable measured: Correlation to S&P 500
  type: PropertyValue
  value reference: Portfolio Diversification
variable measured: Historical Track Record
  type: PropertyValue
  value reference: Reliability
variable measured: Minimum Investment Required
  type: PropertyValue
  value reference: Accessibility
variable measured: Daily Transaction Count
  type: PropertyValue
  value reference: Performance
variable measured: Network Hash Rate
  type: PropertyValue
  value reference: Security
variable measured: Active Smart Contracts
  type: PropertyValue
  value reference: Ecosystem
variable measured: Launch Year
  type: PropertyValue
  value reference: History
variable measured: Annual Volatility (2020-2024)
  type: PropertyValue
  value reference: Risk
variable measured: Sharpe Ratio (2020-2024)
  type: PropertyValue
  value reference: Risk-Adjusted Returns
variable measured: Worst Single-Year Return on Record
  type: PropertyValue
  value reference: Risk
variable measured: Minimum Investment (via ETF/Fund)
  type: PropertyValue
  value reference: Accessibility
variable measured: Correlation to S&P 500
  type: PropertyValue
  value reference: Diversification
variable measured: Trading Availability
  type: PropertyValue
  value reference: Accessibility
variable measured: Number of Holdings
  type: PropertyValue
  value reference: Composition
variable measured: US Market Capitalization Covered
  type: PropertyValue
  value reference: Coverage
variable measured: Average Constituent Market Cap
  type: PropertyValue
  value reference: Size
variable measured: Expense Ratio (Typical ETF)
  type: PropertyValue
  value reference: Costs
variable measured: 2026 Projected Return (Consensus)
  type: PropertyValue
  value reference: Performance
variable measured: 30-Year Historical Average Return
  type: PropertyValue
  value reference: Performance
variable measured: Volatility Profile
  type: PropertyValue
  value reference: Risk
variable measured: Sector Concentration (Top 10)
  type: PropertyValue
  value reference: Concentration
variable measured: Technology Sector Exposure
variable measured: Small/Mid-Cap Allocation
variable measured: Implementation Complexity
variable measured: Overlap Between Indices
variable measured: Average Annual Return (10-Year)
variable measured: Volatility (Standard Deviation)
variable measured: Sharpe Ratio (Risk-Adjusted Return)
variable measured: Maximum Drawdown (Worst Case Loss)
variable measured: Minimum Investment Amount
is based on: https://www.aversusb.net/compare/bitcoin-vs-sp500)))

Bitcoin vs S&P 500 — Attribute Category Vocabulary
type: DefinedTermSet
language: en-US
description: Taxonomy of attribute categories used to classify comparison data for Bitcoin vs S&P 500.
has defined term: Value
has defined term: Valuation
has defined term: Adoption
has defined term: Reliability
has defined term: Utility
has defined term: Economics
has defined term: Regulation
has defined term: Performance
has defined term: Risk
has defined term: Scarcity
has defined term: Protection
has defined term: Macro Hedging
has defined term: Access
has defined term: Market
has defined term: Environmental
has defined term: Cost Efficiency
has defined term: Security & History
has defined term: Functionality
has defined term: Technical
has defined term: Tokenomics
has defined term: Market Data
has defined term: History
has defined term: Supply Metrics
has defined term: Sustainability
has defined term: Income
has defined term: Scale
has defined term: Diversification
has defined term: Risk Profile
has defined term: Costs
has defined term: Liquidity
has defined term: Portfolio Diversification
has defined term: Accessibility
has defined term: Security
has defined term: Ecosystem
has defined term: Risk-Adjusted Returns
has defined term: Composition
has defined term: Coverage
has defined term: Size
has defined term: Concentration
has defined term: Sector Weights
has defined term: Size Distribution
has defined term: Ease of Use
has defined term: Risk-Adjusted Performance
has defined term: Maturity
has defined term: Cost

Value
type: DefinedTerm
term code: value
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Valuation
type: DefinedTerm
term code: valuation
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Adoption
type: DefinedTerm
term code: adoption
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Reliability
type: DefinedTerm
term code: reliability
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Utility
type: DefinedTerm
term code: utility
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Economics
type: DefinedTerm
term code: economics
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Regulation
type: DefinedTerm
term code: regulation
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Performance
type: DefinedTerm
term code: performance
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Risk
type: DefinedTerm
term code: risk
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Scarcity
type: DefinedTerm
term code: scarcity
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Protection
type: DefinedTerm
term code: protection
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Macro Hedging
type: DefinedTerm
term code: macro-hedging
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Access
type: DefinedTerm
term code: access
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Market
type: DefinedTerm
term code: market
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Environmental
type: DefinedTerm
term code: environmental
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Cost Efficiency
type: DefinedTerm
term code: cost-efficiency
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Security & History
type: DefinedTerm
term code: security-&-history
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Functionality
type: DefinedTerm
term code: functionality
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Technical
type: DefinedTerm
term code: technical
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Tokenomics
type: DefinedTerm
term code: tokenomics
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Market Data
type: DefinedTerm
term code: market-data
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

History
type: DefinedTerm
term code: history
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Supply Metrics
type: DefinedTerm
term code: supply-metrics
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Sustainability
type: DefinedTerm
term code: sustainability
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Income
type: DefinedTerm
term code: income
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Scale
type: DefinedTerm
term code: scale
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Diversification
type: DefinedTerm
term code: diversification
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Risk Profile
type: DefinedTerm
term code: risk-profile
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Costs
type: DefinedTerm
term code: costs
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Liquidity
type: DefinedTerm
term code: liquidity
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Portfolio Diversification
type: DefinedTerm
term code: portfolio-diversification
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Accessibility
type: DefinedTerm
term code: accessibility
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Security
type: DefinedTerm
term code: security
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Ecosystem
type: DefinedTerm
term code: ecosystem
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Risk-Adjusted Returns
type: DefinedTerm
term code: risk-adjusted-returns
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Composition
type: DefinedTerm
term code: composition
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Coverage
type: DefinedTerm
term code: coverage
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Size
type: DefinedTerm
term code: size
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Concentration
type: DefinedTerm
term code: concentration
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Sector Weights
type: DefinedTerm
term code: sector-weights
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Size Distribution
type: DefinedTerm
term code: size-distribution
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Ease of Use
type: DefinedTerm
term code: ease-of-use
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Risk-Adjusted Performance
type: DefinedTerm
term code: risk-adjusted-performance
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Maturity
type: DefinedTerm
term code: maturity
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

Cost
type: DefinedTerm
term code: cost
in defined term set: Bitcoin vs S&P 500 — Attribute Category Vocabulary

faq
type: FAQPage
language: en-US
is accessible for free: true
conditions of access: Free
date modified: 2026-07-09T07:52:41.321Z
author: A Versus B
publisher: A Versus B
is part of: bitcoin-vs-sp500)))
main entity: Which investment has better historical returns?
  type: Question
  accepted answer: Answer
    text: Bitcoin has significantly higher historical returns, averaging ~95% annualized from 2010-2024 compared to S&P 500's ~13% average annual return. However, Bitcoin's ~65% annual volatility versus the S&P 500's ~15% means these returns come with substantially higher risk. The S&P 500's Sharpe ratio (0.9) is nearly 2.3x better than Bitcoin's (0.4), indicating superior risk-adjusted returns.
    language: en-US
main entity: Is Bitcoin or S&P 500 better for retirement planning?
  type: Question
  accepted answer: Answer
    text: The S&P 500 is generally more suitable for retirement planning due to its lower volatility, predictable dividend yield (~1.4%), and regulatory oversight. Bitcoin could serve as a small portfolio allocation (5-10%) for diversification due to its low 0.25 correlation to stocks, but its extreme volatility makes it unsuitable as a primary retirement vehicle. Most financial advisors recommend S&P 500 index funds as the core retirement holding.
    language: en-US
main entity: What is the worst-case scenario for each investment?
  type: Question
  accepted answer: Answer
    text: Bitcoin experienced a -65% drawdown in 2022, erasing gains for investors who bought near the 2021 peak. The S&P 500's worst year on record was -37% in 2008 during the financial crisis. Over any 20-year rolling period since 1957, the S&P 500 has never produced negative returns, while Bitcoin, only existing since 2009, could theoretically go to zero if blockchain technology becomes obsolete.
    language: en-US
main entity: How do these investments differ in tax efficiency?
  type: Question
  accepted answer: Answer
    text: S&P 500 index funds offer exceptional tax efficiency with expense ratios as low as 0.03% and minimal capital gains distributions (averaging 0.2-0.5% annually). Bitcoin in taxable accounts is highly tax-inefficient due to the IRS treating it as property rather than securities—all trades trigger capital gains taxes, and there's no long-term capital gains advantage. Bitcoin held in tax-advantaged accounts (if permitted) avoids these issues.
    language: en-US
main entity: Can Bitcoin and S&P 500 be held together in a portfolio?
  type: Question
  accepted answer: Answer
    text: Yes, and many modern portfolio managers recommend it. Bitcoin's 0.25 correlation to the S&P 500 means it moves independently, providing diversification benefits. A common allocation for investors with moderate risk tolerance is 90% S&P 500 and 5-10% Bitcoin. This captures Bitcoin's upside potential while limiting exposure to its extreme volatility. However, this strategy only suits investors who can tolerate Bitcoin's drawdowns without panic-selling.
    language: en-US

How to Choose Between Bitcoin and S&P 500
type: HowTo
description: Bitcoin is a volatile digital asset with decentralized blockchain technology and 24/7 trading, while the S&P 500 is a stock market index of 500 large-cap U.S. companies with lower volatility and traditional market hours. Bitcoin has delivered ~95% annualized returns (2010-2024) compared to S&P 500's ~13% average annual return, but with dramatically higher risk.
language: en-US
total time: PT3M
step: Consider: Annual Volatility (2020-2024)
step: Consider: Average Annual Return (2010-2024)
step: Consider: Trading Hours
step: Consider: Regulatory Framework
step: Consider: Maximum Drawdown (2022)
step: Consider: Dividend Yield
step: Consider: Asset Class Correlation to Stocks
tool: A Versus B Comparison Guide
tip: HowToTip
  text: Choose Bitcoin if you have high risk tolerance, a 5-10+ year investment horizon, and want portfolio diversification with exposure to emerging digital assets and potential for exceptional returns. Choose S&P 500 if you prefer stable, predictable growth with lower volatility, dividend income, established regulatory protections, and a proven track record spanning decades—ideal for retirement planning and most traditional investors.

Consider: Annual Volatility (2020-2024)
type: HowToStep
position: 1
text: Annual Volatility (2020-2024): Bitcoin has ~65%, while S&P 500 has ~15%.

Consider: Average Annual Return (2010-2024)
type: HowToStep
position: 2
text: Average Annual Return (2010-2024): Bitcoin has ~95%, while S&P 500 has ~13%.

Consider: Trading Hours
type: HowToStep
position: 3
text: Trading Hours: Bitcoin has 24/7/365, while S&P 500 has 9:30 AM - 4:00 PM ET (weekdays only).

Consider: Regulatory Framework
type: HowToStep
position: 4
text: Regulatory Framework: Bitcoin has Minimal/Evolving (varies by jurisdiction), while S&P 500 has SEC-regulated, well-established since 1957.

Consider: Maximum Drawdown (2022)
type: HowToStep
position: 5
text: Maximum Drawdown (2022): Bitcoin has -65%, while S&P 500 has -19.4%.

Consider: Dividend Yield
type: HowToStep
position: 6
text: Dividend Yield: Bitcoin has 0%, while S&P 500 has ~1.4%.

Consider: Asset Class Correlation to Stocks
type: HowToStep
position: 7
text: Asset Class Correlation to Stocks: Bitcoin has ~0.25 (low correlation), while S&P 500 has 1.0 (perfect correlation, is stocks).

claimreview
type: ClaimReview
is accessible for free: true
conditions of access: Free
claim reviewed: Bitcoin vs S&P 500
review body: Bitcoin is a volatile digital asset with decentralized blockchain technology and 24/7 trading, while the S&P 500 is a stock market index of 500 large-cap U.S. companies with lower volatility and traditional market hours. Bitcoin has delivered ~95% annualized returns (2010-2024) compared to S&P 500's ~13% average annual return, but with dramatically higher risk.
review rating: Rating
  rating: 5
  worst rating: 1
  best rating: 5
  alternate name: Verified Comparison
author: A Versus B
item reviewed: Bitcoin vs S&P 500

Minimum Investment (via ETF/Fund)
type: PropertyValue
value: Bitcoin: $1 (fractional shares) | S&P 500: $1 (fractional shares via ETF)

Correlation to S&P 500
type: PropertyValue
value: Bitcoin: ~0.25 | S&P 500: 1.0 (perfect correlation)
value reference: Bitcoin

Trading Availability
type: PropertyValue
value: Bitcoin: 168 (24/7) | S&P 500: 37.5 (9:30 AM-4:00 PM ET, M-F)
value reference: Bitcoin

Number of Holdings
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 500

US Market Capitalization Covered
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~85%

Average Constituent Market Cap
type: PropertyValue
value: Bitcoin: N/A | S&P 500: $800+

Expense Ratio (Typical ETF)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 0.03-0.09%

2026 Projected Return (Consensus)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 12%

30-Year Historical Average Return
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 10%

Volatility Profile
type: PropertyValue
value: Bitcoin: N/A | S&P 500: Lower (large-cap focus)

Sector Concentration (Top 10)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~30-35%

Technology Sector Exposure
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~28-30%

Small/Mid-Cap Allocation
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~0-5%

Implementation Complexity
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 2 (very simple)

Overlap Between Indices
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 85% identical to Total Market

Average Annual Return (10-Year)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 10.2%

Volatility (Standard Deviation)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 14.5%

Sharpe Ratio (Risk-Adjusted Return)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 0.72

Maximum Drawdown (Worst Case Loss)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: -34% (2008)

Number of Holdings
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 500

Historical Track Record
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 94 years (1926-2024)

Minimum Investment Amount
type: PropertyValue
value: Bitcoin: N/A | S&P 500: $100

Market Capitalization Coverage
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~92%

Standard Deviation (Volatility)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 16.2%

Minimum Market Capitalization Requirement
type: PropertyValue
value: Bitcoin: N/A | S&P 500: $12.5B

Vanguard ETF Expense Ratio
type: PropertyValue
value: Bitcoin: N/A | S&P 500: 0.03% (VOO)

Small-Cap Stock Allocation
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~8%

Sector Concentration (Technology)
type: PropertyValue
value: Bitcoin: N/A | S&P 500: ~33%

SpeakableSpecification
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Bitcoin — Wikipedia
type: CreativeWork

S&P 500 — Wikipedia
type: CreativeWork

Compare Bitcoin vs S&P 500
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additional type: CompareAction
target: https://www.aversusb.net/compare/bitcoin-vs-sp500)))
object: Bitcoin
object: S&P 500

Technology Sector Exposure
type: PropertyValue
value reference: Sector Weights

Small/Mid-Cap Allocation
type: PropertyValue
value reference: Size Distribution

Implementation Complexity
type: PropertyValue
value reference: Ease of Use

Overlap Between Indices
type: PropertyValue
value reference: Composition

Average Annual Return (10-Year)
type: PropertyValue
value reference: Performance

Volatility (Standard Deviation)
type: PropertyValue
value reference: Risk

Sharpe Ratio (Risk-Adjusted Return)
type: PropertyValue
value reference: Risk-Adjusted Performance

Maximum Drawdown (Worst Case Loss)
type: PropertyValue
value reference: Risk

Number of Holdings
type: PropertyValue
value reference: Composition

Historical Track Record
type: PropertyValue
value reference: Maturity

Minimum Investment Amount
type: PropertyValue
value reference: Accessibility

Market Capitalization Coverage
type: PropertyValue
value reference: Composition

Standard Deviation (Volatility)
type: PropertyValue
value reference: Risk

Minimum Market Capitalization Requirement
type: PropertyValue
value reference: Composition

Vanguard ETF Expense Ratio
type: PropertyValue
value reference: Cost

Small-Cap Stock Allocation
type: PropertyValue
value reference: Composition

Sector Concentration (Technology)
type: PropertyValue
value reference: Risk