Bloomberg analyst says spot Bitcoin ETFs could surpass gold funds in AUM

In a recent interview, Bloomberg ETF analyst James Seyffart projected that spot Bitcoin exchange-traded funds could overtake gold ETFs in total assets under management as investors use them for more than a “digital gold” allocation.

He argued that Bitcoin can fill multiple roles in portfolios, including digital gold, store of value, diversifier, and a form of digital capital and property, while markets often treat it as a growth risk asset. “There are just more use cases of why somebody would put a Bitcoin ETF in a portfolio,” he noted. “Our view is that Bitcoin ETFs will be larger than gold ETFs.” He also pointed out that some buyers may use the products to express a “growth and liquidity trade,” calling them “hot sauce in a portfolio.”

Recent fund flows illustrate the divergence. In March, U.S. spot Bitcoin ETFs recorded $1.32 billion in net inflows, while U.S. gold ETFs posted $2.92 billion in net outflows.

The largest U.S. gold-backed fund, GLD, saw a single-day withdrawal of about $3 billion on March 4, the biggest daily outflow in more than two years.

Despite the split in flows, both assets eased in recent weeks. Over the past 30 days, Bitcoin fell roughly 8%, and gold declined by a similar percentage.

Separate data from the Bank for International Settlements indicated shifting activity in the gold market. Retail purchases have tripled over the past six months, while selling by large financial institutions has increased over the past four months.

In December 2025, Fidelity Digital Assets analyst Chris Kuiper observed that gold and Bitcoin have historically taken turns leading performance, adding that with gold strong in 2025, Bitcoin could lead next.