Gold vs Bitcoin: Performance Through the Lens of Money Suppl

Gold has done well of late, but hasn't made a new high relative to broad money supply since 2011.
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What to know:?

• Gold has failed to outpace money supply growth since 2011.
• Bitcoin, meanwhile, consistently makes new highs relative to M2 each cycle.
• The difference in performance could highlight different roles of the two assets.

• Gold has been one of the strongest performing assets in 2025, rising 38% year to date, outpacing bitcoin23% advance. It's no secret, though, that bitcoin has done wildly better than gold?(and pretty much everything else)?over its short lifespan.?

  A check of the two popular inflation-resistant assets against a broad measure of U.S. money supply?(known as M2)?yields further insight about their performances.

  Adjusted for M2 growth, gold — despite its recent strong run — remains below its 2011 peak and roughly the same level as it was in 1975. The all-time high for gold against M2 occurred in 1980.

  Bitcoin tells a different story. Each bull cycle has seen BTC hit a record versus M2, including last month when bitcoin touched both an absolute all-time high as well as a new high relative to money supply.

• This contrast could highlight the different roles of the two assets. Gold continues to serve as a long-standing hedge and a stabilizer in portfolios, while bitcoin’s behavior shows how new forms of money can respond differently to an era of rapid monetary expansion.
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