Bitcoin vs Ethereum
Bitcoin and Ethereum are the two largest assets in the sector, and the only ones to have lived through several complete cycles. They do not, however, do the same thing: one aims at the scarcity of a currency with a hard supply cap, the other runs the programs of a platform.
Over the period both series share, Ethereum comes out ahead at +81.4% a year.
| Asset | Total return | Annualised | Volatility | Largest drawdown |
|---|---|---|---|---|
| Bitcoin | ×357 | +69.5% a year | 74.9% | −74.2% (February 2019) |
| Ethereum | ×795 | +81.4% a year | 149.8% | −89.3% (February 2019) |
Figures calculated on 26/10/2026 from monthly closing prices. Past performance is no guide to future performance.
A capped supply, and a platform for programs
Bitcoin has an issuance rule fixed from the outset: twenty-one million units at most, created at a rate that halves at regular intervals. That programmed scarcity underpins most of the argument made for its value.
Ethereum is a platform on which programmed contracts run, and its currency exists first to pay for those executions. Its issuance is not capped but adjusted by the protocol, which destroys part of the fees paid — so supply can shrink as usage grows. Its move to proof of stake in 2022 cut its energy consumption by several orders of magnitude.
Two curves that move together
For all those differences, the two assets largely rise and fall in step: the sector reacts to the same announcements, the same liquidity conditions, the same waves of distrust. The matchup shows less a pair of opposing bets than two amplitudes on a single cycle.
Both series carry the same caveats: a short history by the standards of any traditional asset class, and falls that have exceeded 70% several times, for each of them.
Frequently asked questions
Why does the comparison not go back before 2015?
Ethereum did not exist. The period shown starts on the first day both assets have a price; starting earlier would set a complete history against a partial one.
Are these assets comparable to a share?
No. A share is a claim on a company’s profits; these assets pay nothing and rest on no balance sheet. Their price depends entirely on what others will pay.