Many people say I FUD the crypto space, but in fact, I hold a large amount of crypto assets precisely because I am optimistic about the crypto space. However, for outsiders, you need to find some reasons for them to buy Bitcoin: The previous reasons were quite sufficient; narratively speaking, Bitcoin has the property of being a non-sovereign asset that can resist risks, and it also possesses the scarcity of digital gold. When large institutions are doing asset allocation, they not only look at the narrative but also at the statistical risk-return ratio of the assets. Institutions typically like to use the Sharpe Ratio and Sortino Ratio to evaluate an asset's risk and return rate. In simple terms, a higher Sharpe Ratio indicates that for the same volatility risk, allocating that asset has earned more money; a higher Sortino Ratio means that for the same "loss risk," you can earn a higher excess return. Both of these indicators have shown Bitcoin to perform exceptionally well in the past, as shown in the chart below. Bitcoin's Sharpe Ratio and Sortino Ratio have significantly outperformed other major asset classes like stocks, bonds, real estate, and gold over the past 10 years, except for the years 2018-2022. As of this year (as shown in Chart 3), Bitcoin's Sharpe Ratio is still excellent, but it has already underperformed gold and Google. Therefore, from a risk-return perspective, it is difficult for institutional investors to allocate incremental funds into Bitcoin, as buying gold and large-cap U.S. stocks seems more attractive. Of course, the crypto space is not without hope. As the saying goes, Q4 has historically shown good performance for Bitcoin, and the ETF holding structure for Bitcoin has not shown clear signs of a turning point, indicating that the recent decline is mainly driven by sentiment. So let's hope Bitcoin can weather the winter; this time, it really needs to fangshouyibo.

Grok calculated a 2025 YTD data, and Bitcoin still has a lower Sharpe Ratio than gold and US stocks.

Moreover, MicroStrategy really can't buy anymore; the stock price isn't picking up, and they can't raise money through bonds. The buying volume in October is far lower than from June to September.