I Analyzed the Compounding Effect of BTC and S&P 500, and Oh My God...

I'm not going to waste your time, so here's everything briefly.

• Since 1957, the S&P 500 has delivered an average annual return of 10%.
• Bitcoin has shown an average annual growth rate of around 100% since 2011. Though its growth has slowed to an average of 46.59% since 2017, Bitcoin still offers substantial upside. For a conservative estimate, I used a 40% 25% annual growth rate.
• Over 10 years, a $10,000 investment in VOO, which tracks the S&P 500, would grow to $25,937.42—roughly 2.6 times the initial amount. The same investment in Bitcoin could potentially grow to $289,254.65 $93,132.26, achieving a 9.31x return.
• Looking at a 20-year horizon, $10,000 in the S&P 500 could increase to $67,275. In contrast, the same investment in Bitcoin could exceed $8.3 million $867K.

https://preview.redd.it/mns7f3eyjhvd1.png?1580&format=png&auto=webp&s=8b5b41166f9c4f82e86816cf4a5655e66820d333

• If you're extremely conservative and want minimal exposure to Bitcoin, then over the past five years, allocating just 10% to Bitcoin and 90% to the S&P 500 would have doubled the returns increased the returns by 36.68% compared to a full allocation to the S&P 500. A balanced approach, with 50% in each, would have resulted in more than triple the growth.

https://preview.redd.it/5zezk9vhsgvd1.png?1600&format=png&auto=webp&s=fa277b157330dc83baf7eebde6f8cc7c131ae44c

EDIT 1: I’ve noticed a lot of comments saying this analysis is garbage, pure hopium, or just plain stupid. I want to clarify what the chart is actually showing—the power of compounding. Even a small change in the annual growth rate (say, 10% versus 15%) can make a huge difference in long-term returns.

Yes, I get that maintaining a 40% growth rate for 40 years is unrealistic—that’s on me for not pointing it out earlier. I apologize for the oversight. In my opinion, though, a 40% growth rate could still be achievable for another decade or so before tapering off to around 25-30%, and eventually settling at about 20%. Even at a steady 20% per year, the compounding effect remains incredibly impactful. You can choose whichever % return you want using the table. Thank you for all the critique, I truly value all of your words, even the extremely negative ones.

EDIT 2: I’ve removed "extremely conservative" from the last bullet point, as it seemed to cause confusion.
EDIT 3: Changed the estimates to 25% CAGR and 10% exposure.