Bitcoin ETFs Outstrip Gold as Investors Turn to ‘Better Hedge’ Against US Assets
Bitcoin ETF inflows in the U.S. have exceeded $3 billion over five trading days, while gold ETFs experienced a $1 billion outflow. The gap between Bitcoin and gold ETF flows has reached $4 billion, the largest since the November presidential election. Analysts suggest Bitcoin is a superior hedge against strategic asset reallocation from the U.S., evidenced by rising U.S. Treasury yields and falling demand for U.S. assets. Recent improvements in U.S.-China trade relations have negatively impacted gold demand, while concerns about U.S. economic policies may sustain Bitcoin demand. Standard Chartered forecasts Bitcoin could reach $120,000 by the end of Q2 and $200,000 by year-end. Currently, Bitcoin is priced at $94,979, down 0.3% in 24 hours, with the overall cryptocurrency market declining by 2%.
