Gold prices have skyrocketed nearly 29% this year, firmly beating the 3.8% increase in Bitcoin (BTC). Still, it couldn’t stop investors keenly adding the biggest cryptocurrencies to their portfolios.
BlackRock’s Spot Bitcoin ETF (IBIT) attracted $6.969 billion inflows since the start of the year, according to data from Eric Bulknath, a senior ETF analyst at Bloomberg. SPDR Gold Trust (GLD), the world’s largest physically supported gold ETF, fell seventh on Monday with a net inflow of $7.5 billion.
IBIT’s outperformance demonstrates the institution’s sustained confidence in the long-term outlook for Bitcoin despite its relatively abundant price performance. Gold has climbed $3,384, mainly due to conflict over international trade, renewed inflation concerns and geopolitical tensions. BTC, known as Digital Gold, hit a record high in January, but is now more than 10% below that level.
“Incorporating more cash in that scenario is a really good sign in the long run and stimulates confidence in our call for BTC ETFs to have triple gold AUMs at age 3-5,” Balchunas said in X.
