Q1’21 Currency Sector Review
A new year has historically been a time of optimism and fresh outlooks in the market. Crypto markets carried over a tornado of development in the past three months, moving at the speed of light, composing on top of each other, and dispatching new upgrades every day. This year, with the benefit of hindsight, we are firmly in a bull market but Bitcoin, along with other Currencies, has had a bumpy ride.
Macro sentiment, investor animal spirits, and regulations contributed to favorable multiplier effects.
Price Performance
Bitcoin again outperformed all institutional-grade assets, up +103% on the quarter. Gold, often described as positively correlated to Bitcoin, saw the worst return at -10%.
Bitcoin outperformed despite a volatile quarter, seeing six consecutive positive months. This is the first time that has happened since 2012.
Mira was a Senior Research Analyst at Messari. Prior to joining Messari, Mira was a Senior Portfolio Manager for a US$6 billion Asia Pacific equities fund at APG Asset Management. Mira received a BA in Economics and Mathematical Methods in the Social Sciences from Northwestern University.