Bitcoin and gold have emerged as the worst-performing major assets in 2026, down 7.3% and 7.5% respectively through October 23. According to Creative Planning strategist Charlie Bilello, this marks the first time in his records that both assets have ranked last among 21 major asset classes in the same calendar year.
The underperformance stands in sharp contrast to other asset classes this year. A basket of commodities has gained 52.5%, US large-cap stocks have risen 12.3%, and short-term Treasury bills have returned 2.9%. Only 57% of the 21 tracked asset classes are positive for the year.
Declines After Strong Prior Performance
Gold's 2026 losses follow exceptional gains in 2025, when the precious metal climbed 63.7% for its best year in Bilello's records. Spot gold peaked above $5,400 an ounce in early 2026 but closed at $3,995.81 on Friday, falling below $4,000 for the first time since July.
Bitcoin is heading for its second consecutive losing year after a 6.3% decline in 2025. The cryptocurrency trades at $80,472, approximately 35% below its peak above $126,000 in October 2025.
Headwinds From Interest Rates and Oil
Both assets face pressure from rising interest rates. Neither gold nor Bitcoin generates interest income, making them less attractive when rates climb, as investors can earn returns from bonds or cash instead.
Elevated oil prices have compounded the challenge. Brent crude, the global oil benchmark, touched $116 a barrel as US-Iran tensions escalated, with costlier crude potentially feeding inflation pressures. The Federal Reserve is expected to announce its next decision on Wednesday, with traders pricing in a 68% probability of a December rate hike.
ING analysts noted that gold failed to benefit from a technology stock selloff this week, with markets instead focused on the inflation implications of higher oil prices.
Long-Term Performance Remains Strong
Despite 2026's weakness, historical data shows markedly different trajectories for the two assets. Since 2011, Bitcoin has returned an average of 120.6% annually, the highest among Bilello's tracked asset classes, while gold has averaged 6.3% annual returns.
With two months remaining in 2026, year-end rankings remain subject to change.
