Bitcoin outperforms gold and S&P 500 post-election despite Q1 drop

Bitcoin Outperforms S&P 500 and Gold Since Election Day

Despite Bitcoin (BTC) falling nearly 12% in the first quarter to $82,683.16 amid the market uncertainty, it has outperformed the S&P 500 and gold since Election Day.

Gold recently hit a new all-time high of over $3100, up by nearly 14% since Nov. 5. Conversely, the S&P 500 is down by roughly 3% in the same period.

Meanwhile, BTC has soared by since Election Day, climbing 22% from its opening price of $67,823.49

Investors selling the news and tight liquidity

The latest edition of the Bitfinex Alpha report noted that Bitcoin’s price slid in the first quarter due to a “sell-the-news” dynamic.

Regulatory Progress Impact

• Traders potentially reassessed the lack of tangible regulatory progress after President Donald Trump took office.
• Negative impact on prices due to the reassessment.

Market Liquidity Conditions

• Tight liquidity conditions shaping market conditions.
• Constrained liquidity across spot and derivatives markets.
• Volatility compressed since early-year spike.

Market Watch

• Inflows into US-listed spot Bitcoin ETFs being tracked for directional cues.
• Flows have slowed since the initial launch.
• Traders closely watching for shifts in Federal Reserve policy.

Altcoins Struggle While Bitcoin Dominates

Despite the decline, Bitcoin’s relative strength has grown in the context of a broader crypto market downturn. BTC’s dominance, its share of the total crypto market capitalization, has increased to over 61%.

Major Altcoins Performance

• Ethereum down over 45% in the first quarter.
• Solana down over 33% despite hitting a new all-time high.
• BNB and Cardano also registering corrections.
• XRP up by 1% in the first quarter.

Market Data Snapshot

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