While silver and gold gained massively, BTC and ETH went in the opposite direction. Bitcoin is down around 6% at the time of writing, Ethereum fell nearly 12%, and the broader altcoin market was hit the hardest, sinking more than 40%.
About the performance of big metals, Puckrin said,
“What has been particularly unexpected, however, is the stellar performance of precious metals – specifically gold and silver, which are up 66% and over 130% year-to-date.”
Even traditional equity benchmarks outperformed – Nasdaq, the S&P 500, and small-cap stocks all posted solid gains.
Crypto clearly lagged behind almost every major asset class. This year, capital favored stability, cash flow, and tangible value. Crypto, the obvious and skeptic high-growth bet, spent the year on the relative sidelines.
What really mattered this year?For Bitcoin, the past 12 months were about becoming stronger. As mentioned earlier, Spot ETFs became a constant source of demand. The post-halving drop in new supply made Bitcoin harder to find. Clearer U.S regulations also made it easier for institutions to hold BTC and explain why they own it.
At the same time, rising government debt and fiscal pressure brought back Bitcoin’s appeal as a hedge. Long-term holders bought into that idea, adding to positions even during times when BTC looked boring or unattractive.
Ethereum’s year followed a different path, focused on what the network can do. Two major upgrades (Pectra in May and Fusaka in December) improved performance, lowered costs, and increased capacity. Gradual gas limit increases showed progress. Clarity around staking also gave certainty.
Institutions finally went from theory/experimentation to practice. Tokenized funds, stablecoins, and ETFs all grew, while Layer 2 networks handled most transactions. This made Ethereum cheaper and easier to use at scale.
While the native token price was nothing to write home about, the network itself has proved just how much depends on it.
2026 – The response year?Bitcoin may be bruised, but it’s certainly not broken. Its underperformance versus equities has been glaring, but that gap is exactly what some see as opportunity.
As David Schassler of VanEck puts it,
“Bitcoin is lagging the Nasdaq 100 Index by roughly 50% year-to-date, and that dislocation is setting it up to be a top performer in 2026.”
What’s important is that nothing fundamental snapped this year. While risk appetite took a hit, belief still remains the same.
That matters because,
“Today’s weakness reflects softer risk appetite and temporary liquidity pressures, not a broken thesis…”
The patterns back this view. When liquidity is tight, Bitcoin stalls. When it returns, Bitcoin tends to move fast.
Ethereum’s outlook for the new year may be tamer, but just as important. Its growth is now tied more to usage, what with stablecoins, tokenization, L2 activity, and real institutions building on it.
Overall, there are no promises for easy upside. However, if you’re patient, you may just see your hopes pay off.
Until then, happy holidays! We’ll see you in the new year.
Final Thoughts
- Bitcoin is ending 2025 bruised, but stronger.
- Ethereum underperformed on the price front, but network usage made it more critical than ever.