Bitcoin ETFs outperform gold ETFs, a first in 2025

US Bitcoin ETFs pulled in a massive $5.23 billion in May alone, while gold-backed ETFs hemorrhaged $1.58 billion in outflows. Institutional money seems to be shifting gears, spreading a loud message that Bitcoin is emerging as the hedge of choice.

Bitcoin’s surge to an all-time high of $111,980 earlier this month was fueled not just by ETFs’ impressive inflow but by a mix of favorable regulatory signals. This included momentum on stablecoin legislation and intensifying concerns over US fiscal stability.

Gold has still managed to surge by 27% on the year to date (YTD), while BTC is up by just 12% in the same period.

BlackRock’s IBIT leads BTC ETFs surge

According to reports, technical indicators like short-term Moving Average Convergence Divergence (MACD) weakness are largely being shrugged off. This is because of institutional flows and wallet data, painting a clear picture that portfolio rotation is underway.

May saw a pretty good run for Bitcoin ETFs as they reported just four days of outflow while printing green all the way around. On the other side, gold ETFs went off the roof at the beginning of the month, but fell sharply in mid-May before regaining speed in the second half.

🔥Bitcoin ETFs are beating gold — first time this year.

📊$5.25B flowed into BTC ETFs in May, while Gold ETFs lost $1.58B.

The flippening isn’t just in price — it’s in trust.👊 pic.twitter.com/zSIr69pAUm

— Coin Bureau (@coinbureau) June 2, 2025

Data shows that BlackRock’s IBIT posted the largest weekly net inflow, bringing in $584 million, as its cumulative net inflow has now reached $48.57 billion. However, it was followed by Grayscale’s Bitcoin Mini Trust ETF, which posted a weekly net inflow of $19.81 million, hitting its total inflow to $1.4 billion.

Meanwhile, trading days from May 27 to May 30 saw a total net outflow of $157 million from Bitcoin ETFs. The largest weekly net outflow came from the ARKB ETF, with around $282 million running off the funds. 

Skeptics are still in doubt

Bitcoin also reacted in a similar way, as BTC price dropped by almost 5% in the past 7 days. Bitcoin is trading at an average price of $104,492 as of press time. Its 24-hour trading volume is up by 14% to stand at $40.5 billion.

Gold price has posted a major uptick in 2025, XAU price, which started the year trading at around $2,650, went on to hit above $3,430 on May 6. The precious metal is trading at an average price of $3,349 at the press time.

Analysts remain bullish on both gold and Bitcoin as top hedges against G7 currency debasement. Some argue that Bitcoin’s decentralized nature gives it an edge, especially when it comes to guarding against financial system risks.

However, some skeptics remain unsure that BTC has fully matured into a “safe haven.”

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