Bitcoin broke its record: ₹93 lakh plus, is it the right time to invest now
Bitcoin has once again broken its all-time high. On 22 May, the world’s largest cryptocurrency touched the level of $112,000, which is around ₹93 lakh. Bitcoin also saw a peak of $109,000 in January, but by April it had fallen to $75,000. Now it is looking fast again – but the question is: is this the right time to invest?
Bitcoin: Tech Stock or Digital Gold?
One of the biggest confusions among investors is how to view Bitcoin. Sometimes it behaves like a high-risk, high-reward tech stock, and sometimes it becomes a safe-haven asset – what people call “digital gold.”
Bitcoin’s current market cap is $2.2 trillion, which is on par with tech giants like Google (Alphabet) and Amazon. But whenever economic or political uncertainty grows in the world – such as new tariffs or trade wars – people start to view Bitcoin as a safe investment.
Bitcoin fell along with tech stocks on April 2 when President Donald Trump announced new tariffs on Europe and China. But a few days later, when Bitcoin became stable, people started calling it digital gold. Because unlike tech stocks, Bitcoin is not directly affected by any country’s trade flows.
One Asset, Two Identities – Which is Correct?
But this double identity can be problematic. When the market is bullish, Bitcoin acts like a tech stock. And when the market is bearish, it becomes gold? This logic sounds like “heads I win, tails you lose.”
Financial experts say that if Bitcoin is considered digital gold, its upside potential is limited. Because historically, gold has not given such big returns. Gold’s best return in the last 15 years was 27.7% in 2010, and the average annual return has been around 10%.
Bitcoin: High Risk, High Reward?
On the other hand, if Bitcoin is treated like a tech stock, it still has high growth potential. Bitcoin gave triple-digit returns in 2023 and 2024. But high volatility is also associated with it.
Investment firm 21Shares published a report in April: “From Digital Asset to Safe Haven: Why Is Bitcoin Acting Like Gold?” which said that Bitcoin’s performance could approach that of gold by the end of 2025.
If you believe Bitcoin is digital gold, you should have similar expectations – stable returns, but expect less massive gains.
Tariffs: A Wild Card
There is another major factor in Bitcoin’s price movements – tariff news. On May 23, just a day after Bitcoin touched its all-time high, President Trump threatened to impose 50% tariffs on Europe. It also targeted tech companies like Apple that have not yet shifted their operations to the US.
So should you buy Bitcoin now?
After this announcement, Bitcoin immediately fell from $112,000 to $109,000. This indicates that Bitcoin still reacts like tech stocks – especially when there is geopolitical or economic pressure.
However, Trump later delayed these tariffs, but uncertainty still remains.
This depends on your investment approach. If you are a high-risk, high-reward investor who can tolerate short-term volatility, Bitcoin may be right for you.
But if you want a stable return, and you like the digital gold thesis, you should expect long-term, gold-like performance from Bitcoin – without massive upside but with reduced risk.
Investment advisory platforms like The Motley Fool say that their top 10 stock picks do not yet include Bitcoin. They believe there are select stocks that have more potential than Bitcoin in the next few years.
Bitcoin’s journey to 2025 has been a roller coaster so far. From $109,000 to $75,000, then back to a high of $112,000 – all this happened in one year.
Whether you consider Bitcoin a tech stock or gold – in both cases, this asset class has now become mainstream. But before investing, it is important to understand that Bitcoin’s unpredictability is its biggest feature, as well as risk.
Your risk appetite and long-term vision will decide whether Bitcoin finds a place in your portfolio or not.
This article is only for information purposes. Consult financial advisor before taking any decision.