Bitcoin Becomes New ‘Hurdle Rate’ As Investors Chase BTC Gains, Says Anthony Pompliano

Anthony Pompliano, founder and CEO of Professional Capital Management and a prominent crypto investor, said on Tuesday that Bitcoin (BTC) is emerging as the new “hurdle rate” for investors.

“Historically, we’ve looked at things like the S&P 500,” he told CNBC in an interview. “Since 2020, the S&P is up 100%, but priced to Bitcoin, it’s down 90%.” 

Pompliano added that most traditional finance returns fail to match Bitcoin’s performance, emphasizing the simplicity and scarcity of Bitcoin as key drivers of its appeal. “They are never going to stop printing money, so Bitcoin will never stop going up. Think of Bitcoin as savings technology: work hard, spend less than you earn, and put the extra into Bitcoin,” he said.

 Bitcoin’s price was trading at around $125,000 in early morning trade on Tuesday after hitting an all-time high of more than $126,000 during the previous session. On Stocktwits, retail sentiment around the apex cryptocurrency trended in ‘extremely bullish’ territory amid ‘high’ levels of chatter.

Pompliano noted that Bitcoin’s price is likely to keep rising because a growing share of BTC is being moved into illiquid supply, increasing pressure on prices. “Every Bitcoin that I buy, no one’s touching again until I die,” Pompliano said. “As more capital flows in and holders remain unwilling to sell, prices naturally rise to clear the market.”

Pompliano also compared Bitcoin to gold, noting the overlapping interests of investors. “Bitcoin and gold are brothers in arms in the fight against currency debasement,” he said. “Gold has outperformed Bitcoin this year, but over the last five years, Bitcoin’s growth has far exceeded gold’s. Bitcoin is essentially gold with wings—smaller market cap, more volatility, higher upside potential.”

Gold’s price touched a record high of $3,985 in morning trade on Tuesday after paring some gains. At the time of writing, it was trading at around $3,979.

Read also: BNB Token Surges To Record High, Overtakes XRP As Third-Largest Cryptocurrency

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