$1K in Bitcoin vs Real Estate over 5 years
Bitcoin (PL)
$8K
Power Law
Real Estate
$1K
8% avg return
Difference
$6K
Bitcoin wins
50/50 Split
$5K
half in each
Portfolio Comparison
Year-by-Year Comparison
| Year | Bitcoin (PL) | Real Estate | BTC Infl-Adj | Real Estate Infl-Adj |
|---|---|---|---|---|
| 2026 | $2K | $1K | $2K | $1K |
| 2027 | $3K | $1K | $3K | $1K |
| 2028 | $3K | $1K | $3K | $1K |
| 2029 | $5K | $1K | $4K | $1K |
| 2030 | $6K | $1K | $5K | $1K |
| 2031 | $8K | $1K | $7K | $1K |
Verdict
Power Law: Bitcoin wins — $6K more.
CAGR 20%: Bitcoin wins — $1K more.
Break-even: Bitcoin only needs 8.0% annual growth to match Real Estate.
$1K Bitcoin vs Real Estate
This comparison puts $1K into Bitcoin versus Real Estate at a 8% average annual return over 5 years. Bitcoin projections use the Power Law model.
Not financial advice. Past performance does not guarantee future results.
$1K vs other assets
Frequently Asked Questions
Bitcoin Gate's Power Law model projects $1K in Bitcoin growing to $8K over 5 years, compared to $1K in Real Estate at 8% annual returns. Bitcoin wins by $6K under this model. Under the conservative CAGR 20% model, Bitcoin comes out ahead.
$1K invested in Bitcoin today could be worth $8K after 5 years under the Power Law model, or $2K under the conservative 20% CAGR model. The same amount in Real Estate at 8% returns would reach $1K.
Over 5 years, Bitcoin has higher projected returns but with significantly more volatility. A 50/50 split between Bitcoin and Real Estate would project to $5K under the Power Law model — capturing upside while reducing risk. Bitcoin only needs 8.0% annual growth to match Real Estate's 8% return.
Bitcoin's average annualized return since 2013 is approximately 75%, while Real Estate has averaged roughly 8% per year. Over 5 years, this compounds dramatically: $1K becomes $8K in Bitcoin (Power Law) versus $1K in Real Estate. However, Bitcoin's past returns may not continue at the same rate.
You might also like
New to Bitcoin? Start here.
Our free 10-module course covers everything from the basics to self-custody — no jargon, no shilling.
Want to customize these numbers?
Use the full Bitcoin FIRE Calculator to adjust your age, savings, expenses, and growth models. Plus explore our free 10-module Bitcoin course.