In a surprising turn for global financial markets, two assets traditionally favored by investors for their defensive qualities have become the year's biggest laggards. Bitcoin and gold, often categorized as "safe havens" against inflation and economic instability, are currently occupying the bottom two spots in performance rankings for 2026.
Data compiled by Charlie Bilello, chief market strategist at Creative Planning, reveals that this simultaneous decline is a historic first. Since Bilello began tracking 21 asset classes in 2011, there has never been a calendar year where both gold and Bitcoin finished at the bottom of the list together.
A Sharp Reversal for Traditional Hedges
The performance figures through October 23, 2026, show gold down 7.5% and Bitcoin trailing closely with a 7.3% decline. This downturn marks a stark departure from the previous year, particularly for gold, which saw a record-breaking 63.7% gain in 2025. During that period, the precious metal climbed to heights above $5,400 an ounce, but it has since retreated, closing at $3,995.81 on October 23—the first time it has dipped below the $4,000 mark since July.
While these two assets have struggled, other sectors have thrived. A basket of commodities has surged by 52.5% this year, while US large-cap stocks have posted a 12.3% gain. Even conservative investments like short-term Treasury bills have outperformed the two "safe havens," providing a 2.9% return. Currently, only 57% of the 21 asset classes tracked by Bilello remain in positive territory for the year.
Contextualizing Long-Term Performance
Despite the current volatility, historical data suggests that the 2026 slump is an outlier rather than a trend. When looking at the broader picture since 2011, Bitcoin remains the top performer in Bilello’s dataset, boasting an average annual return of 120.6%. Gold, while significantly more stable, has maintained a steady average annual return of 6.3% over the same period.
Market analysts point to shifting macroeconomic factors, such as rising oil prices and their subsequent impact on inflation expectations, as primary drivers for the current market environment. Because the year still has two months remaining, the final rankings are not yet set in stone. However, the current performance of Bitcoin and gold serves as a reminder that even assets with strong historical track records are subject to sudden shifts in market leadership and investor sentiment.
