- Bitcoin gained about 7% in September as the S&P 500 was largely unchanged and gold fell more than 6%, according to Santiment.
- US spot bitcoin ETFs attracted billions of dollars during the month, while Strategy added 1,665 BTC to its reserves.
- On-chain analyst Willy Woo said bitcoin has never underperformed stocks over a four-year investment horizon.
Bitcoin rose about 7% in September 2026, outperforming the largely unchanged S&P 500 and gold, which lost more than 6%, according to Santiment. The performance made bitcoin the month’s leading asset across the crypto and traditional markets covered by the analysis and gave the cryptocurrency market stronger momentum entering the fourth quarter.
A significant portion of the altcoin market also joined the rebound. Santiment said capital had started flowing back into the crypto sector after a period of weak sentiment.
ETF inflows and macroeconomic conditions support rebound
Fresh capital inflows helped support the rally. US spot bitcoin exchange-traded funds attracted billions of dollars throughout September, including several large inflows near the end of the month, while Strategy added another 1,665 BTC to its bitcoin reserves.
Santiment said the macroeconomic backdrop also improved. August inflation came in below expectations, temporarily pushing Treasury yields lower and easing expectations of another US Federal Reserve interest-rate increase.
Stocks responded cautiously to those conditions, while the cryptocurrency market posted stronger gains. Santiment attributed that divergence to a rebound from weak sentiment and to a significant amount of short positioning.
The firm said the crypto market entered the fourth quarter with stronger momentum than stocks or gold. It cited demand for bitcoin ETFs, corporate bitcoin accumulation, improved regulatory clarity and renewed interest in altcoins as supportive factors.
However, Santiment cautioned that rising bond yields and excessive leverage could trigger sharp pullbacks.
Woo compares bitcoin with stocks
On-chain analyst Willy Woo also highlighted bitcoin’s performance over a longer investment horizon.
“A little-known fact: bitcoin has never underperformed stocks over a four-year investment horizon. Even if you bought at the very top,” he said.
According to Woo, bitcoin has a compound annual growth rate of 42%. By comparison, Renaissance Technologies, which he described as the leading hedge fund, delivered 39% for investors.
October is traditionally called “Uptober” in the crypto community, reflecting expectations among many market participants that bitcoin will rise during the month.
Source: Incrypted
