BlackRock's Bitcoin ETF Edges Past S&P 500 After Harrowing Ride

BlackRock's Bitcoin ETF has managed to narrowly outperform the S&P 500 since its launch in January 2024, despite putting investors through a significant downturn.

The iShares Bitcoin Trust returned 67.74% from its debut through August 31, compared to 66.14% for Vanguard's S&P 500 ETF on a total-return basis that reinvests dividends.

This leaves the BlackRock fund ahead by just 1.60 percentage points after Bitcoin surged to a record high and then gave back much of those gains during a prolonged bear market.

Bloomberg senior ETF analyst Eric Balchunas noted the similarity in headline returns, but highlighted the vastly different paths investors took to get there.

IBIT's worst peak-to-trough decline reached 53.30% between October 6, 2025, and June 30, 2026, while VOO's maximum drawdown over the comparison period was 18.69%, from February 19 through April 8, 2025.