Bitcoin Outshines Tesla in Tech Portfolios, Says Standard Chartered

Bitcoin (BTC) is often likened to digital gold, but a new report from Standard Chartered suggests it's more accurately viewed as a tech stock — with added benefits. Led by analyst Geoff Kendrick, the report highlights that BTC has maintained a stronger correlation with the Nasdaq than with gold, challenging its traditional role as a safe-haven asset.

While Bitcoin may still offer some protection during financial instability, such as the 2023 regional banking crisis or rising U.S. debt concerns, these instances are rare. Instead, its price behavior increasingly mirrors that of major technology stocks. "In the short term, BTC may be better viewed as a tech stock than as a hedge against TradFi issues," Kendrick noted.

The report introduced a revamped version of the popular “Magnificent 7” (Mag 7) tech stock index — swapping Tesla with Bitcoin to create the "Mag7B." This new index, featuring Apple, Amazon, Microsoft, Meta, Nvidia, Alphabet, and BTC, outperformed the original group over the past seven years. The Mag7B posted roughly 1% higher average returns and nearly 2% lower annual volatility, offering improved risk-adjusted performance for institutional investors.

Kendrick emphasized that BTC should be recognized for its multi-functional role in portfolios, potentially driving more institutional adoption. Major asset managers seem to agree. BlackRock has suggested a 2% BTC allocation in traditional portfolios, while 21Shares and Bitwise have launched ETFs that pair Bitcoin with gold for diversified exposure.

With growing acceptance from Wall Street, Bitcoin is increasingly seen not just as a hedge — but as a core component of modern tech investment strategies.