During a great year for cryptocurrencies, hedge funds focused on digital assets unsurprisingly did very well, too. It’s just that many didn’t do as well as the industry’s most famous token: Bitcoin.

Crypto hedge funds had a strong year in 2024, gaining from their exposure to digital assets. However, Bitcoin’s rise to over $100,000 outpaced most crypto

Several crypto hedge funds saw positive returns last year, but none could match Bitcoin's remarkable performance, which surged 120% to surpass $100,000 for the first time.

Bitcoin rose modestly early Wednesday after investors reacted to the latest U.S. inflation reading. The world’s largest cryptocurrency was up 2.7% over the past 24 hours to $98,863, according to CoinDesk data.

“Bitcoin is up today because both yesterday's producer price index and today's consumer price index were relatively moderate,” said Zach Pandl, head of research at digital asset manager Grayscale. “It raises confidence about disinflation in the economy and the likelihood of Fed rate cuts this year.”

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