Bitcoin ETFs Could Surpass Gold, Says Bloomberg Analyst New blog post

Key Insights:

• Analysts say Bitcoin ETFs could surpass gold ETFs in total assets.
• Strong inflows into Bitcoin ETFs contrast with gold ETF outflows.
• Experts see growing institutional demand driving future growth.

Bitcoin has been compared to gold for years. Now, experts are comparing Bitcoin ETFs with Gold ETFs.

Some analysts believe that BTC-linked exchange-traded funds could surpass gold in investor demand. With Bitcoin offering more ways to add value to a portfolio, it’s turning heads far beyond the usual “digital gold” narrative.

Bitcoin ETFs to Outshine Gold

In a recent interview, Bloomberg analyst James Seyffart stated that Bitcoin ETFs could eventually surpass Gold ETFs in total assets under management (AUM). He stated that investors have increasingly started recognizing Bitcoin beyond its “digital gold” reputation.

“Our view is that Bitcoin ETFs will be larger than gold ETFs,” stated the analyst. He described Bitcoin-based investment funds as a “hot sauce” in investment portfolios. The analyst added, “There are just more use cases of why somebody would put a Bitcoin ETF in a portfolio.”

He noted that investors see them not just as a hedge. Instead, they view BTC as a way to gain exposure to growth and liquidity. Seyffart added that this versatility gives BTC an advantage over traditional gold ETFs, which are mainly used as a store of value.

He highlighted Bitcoin’s multiple roles. According to him, BTC is a digital store of value, a portfolio diversifier, a form of digital property, and a “growth risk asset.” In contrast, he noted, gold mainly serves as a single-purpose hedge.

ETF Flows Show Growing Investor Interest

Notably, the growing investor interest in Bitcoin ETFs strengthens James Seyffart’s statement. In March alone, the US Bitcoin ETFs attracted $1.32 billion in net inflows. In contrast, Gold ETFs saw net outflows of $2.92 billion in the same period.

The largest US gold-backed ETF, GLD, recorded a $3 billion withdrawal on March 4—the biggest single-day outflow in over two years. Meanwhile, retail gold purchases have surged in recent months, even as institutional selling increased, highlighting a shift in investor behavior.

Bitcoin vs Gold Prices

Despite these flows, both Bitcoin and gold prices have moved in tandem over the past month. Currently, Bitcoin is trading around $66,961, down roughly 7% in a month. The coin has managed to surge by a marginal 0.28% in a day and 1.02% in a week.

Meanwhile, gold sits at $4,676, also down about 8% over the last 30 days. It has surged by a marginal 0.44% over the last 24 hours.

What Lies Ahead for Bitcoin ETFs?

Significantly, Bitcoin ETFs are expected to see continued growth as more investors are showing interest. Analysts believe that increasing institutional participation, along with clearer regulations, could bring more stability and trust to the market.

As awareness grows, BTC ETFs may become a more common part of long-term investment portfolios rather than just a high-risk bet.

Analysts believe BTC ETFs still have significant room to grow. Chris Kuiper noted, “Historically, gold and Bitcoin have taken turns outperforming. With gold shining in 2025, it would not be surprising if Bitcoin takes the lead next.”

Kuiper suggested that Bitcoin could lead the next cycle. Meanwhile, James Seyffart said his team expects BTC ETFs to eventually surpass gold ETFs in size.

At the same time, market volatility and global economic conditions will continue to play a big role in their performance.

While Bitcoin has strong growth potential, it can still see sharp price swings. Even so, many experts believe that as adoption increases and the market matures, Bitcoin ETFs could strengthen their position.