Bitcoin’s 2025 Rally Beats Berkshire, Missed $850M Gain

Published: 2025-08-05 22:59:24 |

Bitcoin’s returns of 16.85% in H1 2025 have outpaced Berkshire Hathaway’s 3.55% gain and the S&P 500’s 7.51%. While Berkshire posted a $12.3 billion profit in Q2, a $5 billion impairment on Kraft Heinz led to a $4.6 billion equity loss. Berkshire’s $100.49 billion cash reserve, if 5% allocated to Bitcoin at the start of the year, would have generated over $850 million in unrealized gains by August, partly offsetting its losses. Bitcoin also outperformed top Berkshire holdings including Apple (AAPL), American Express (AXP), and Coca-Cola (KO), highlighting the opportunity cost of conservative strategies. Despite Warren Buffett’s dismissal of Bitcoin and lack of crypto allocation under Greg Abel, 2025 has seen rising ETF inflows and institutional adoption, underscoring Bitcoin’s growing role as a portfolio hedge and growth driver.

Bullish

News of Bitcoin’s superior performance against major equities and hypothetical gains underscores strong investor interest and could spur additional buying in both spot and ETF markets. Short-term, this positive comparison may drive momentum trades as institutions seek diversification. Long-term, growing ETF inflows and institutional adoption signal increased demand and reduced volatility, reinforcing Bitcoin’s role as a strategic asset. Altogether, this fosters a bullish outlook for Bitcoin’s price trajectory.