The 10 Bitcoin ETFs, including GBTC, have had their net cumulative flows double in the last three days to over $3 billion, quickly surpassing gold, a conventional investment favourite.
Considering that it took the gold ETF over two years to accomplish this goal, this acceleration is noteworthy.
According to statistics released by Bloomberg’s Eric Balchunas, interest in bitcoin investment vehicles is growing.
The nine Bitcoin ETFs by themselves are getting close to a startling $10 billion in flows, indicating a dramatic shift in investors’ inclinations away from traditional precious metals and towards digital currencies.
Surging popularity of Bitcoin ETFs
The increase in Bitcoin ETF investments is evidence of the unique attraction of these products to institutional and ordinary investors alike, as well as the rising recognition of cryptocurrencies as a genuine asset class.
Among 3,400 ETFs, IBIT, for example, is now ranked fourth in terms of overall year-to-date flows, competing with industry titans like as VOO, IVV, and QQQ.
Not to be overlooked, FBTC comes in at number seven. These rankings, which are noteworthy for demonstrating investor fervour, speak to a growing base of support for cryptocurrency investments, even taking into account some help from GBTC inflow—which, as Balchunas notes, made up a relatively small portion of their intake.
Gold losing its luster
On the other hand, a warmer-than-expected U.S. inflation data has caused a decline in gold prices.
Gold has historically been viewed as a safe-haven asset during economic uncertainty, but investors are moving away from it in light of the data, which might have an impact on the Federal Reserve’s choices about interest rates.
Gold and silver prices fell to almost daily lows in early U.S. trade; April gold was down $4.50 at $2,028.70 and March silver was down $0.147 at $22.61.
