Here's How Much Bitcoin Has Surged Past the S&P 500 Since the 2020 Covid Crash

It's been six years since the stock market crashed due to the COVID pandemic. It was March 23, 2020, when the market reached its low point. If you invested in just about any stock on that day, you would have likely generated a strong return in the weeks, months, and years to follow.

While buying at the low is easier said than done, it serves as a reminder that investing when the near-term outlook may be bleak can be an excellent decision, as long as you're willing to hang on and be patient. The stock market has recovered nicely from that point, and Bitcoin (CRYPTO: BTC) has simply skyrocketed.

Here's a look at just how well the leading cryptocurrency has done over the past six years, and why it has surged past the S&P 500.

Image source: Getty Images.

A $10,000 investment in Bitcoin would now be worth $100,000

If you invested $10,000 in Bitcoin back on March 23, 2020, your investment today would be in six figures, at just over $100,000. By comparison, if you invested the same amount in the S&P 500 via index funds, then you'd be up to around $29,000. While both investments would have been highly profitable for you, there's no question that going with Bitcoin has proven to be much better.

There are a couple of reasons for this. The first is that Bitcoin is a much more speculative asset to hold, and as such, there can be more significant gains (and losses) from it. Part of the excitement around Bitcoin comes from the potential it has to revolutionize how the economy works and how people buy and sell goods and trade stocks. That leads to the second reason it has done so well, and that's due to the expectation of crypto reform under the current government, with President Trump being in favor of loosening restrictions around cryptocurrencies. That resulted in Bitcoin's value skyrocketing in both 2024 and 2025.

Is Bitcoin still a good investment in 2026?

This year, Bitcoin has been off to a rocky start, falling by around 19% thus far. Despite it often being touted as a safe-haven investment, that hasn't been turning out to be the case this year. Investors have been turning to other assets in search of safety amid economic and geopolitical concerns.

While Bitcoin can provide you with a way to diversify your portfolio outside of stocks, it does come with significant risk and is highly volatile, and unless you are willing to accept that, you may be better off avoiding it and sticking with index funds. Although it has outperformed the market over the past six years, there's no guarantee it will continue to be a better investment than the S&P 500 going forward.

David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.