In a major shift in institutional sentiment, BlackRock’s iShares Bitcoin Trust (IBIT) has overtaken the SPDR Gold Trust (GLD) in year-to-date (YTD) inflows, signaling a growing preference for Bitcoin over gold among Wall Street investors.
Despite gold hitting record highs and posting a 23.07% YTD return, Bitcoin has emerged as the top choice for capital flows in 2025. As of early May, IBIT has seen $6.96 billion in inflows, surpassing GLD’s $6.51 billion, according to Bloomberg ETF analyst Eric Balchunas.
Safe-Haven Shift: Wall Street Backs Bitcoin
This surprising fund flow divergence comes during a period of heightened geopolitical risk and a weakening U.S. dollar—conditions that typically boost gold. But in a break from tradition, Wall Street has chosen Bitcoin, despite its more modest 4.03% return so far this year.
IBIT’s rise reflects a broader institutional belief that Bitcoin is no longer a speculative play, but a core portfolio asset. “Wall Street can’t get enough of Bitcoin,” tweeted Zaheer of Split Capital, echoing the enthusiasm among fund managers.
Institutional Surge and Regulatory Momentum
Bitcoin’s rising status among institutional investors has been fueled by key regulatory developments, including the reversal of the SEC’s SAB 121 bulletin, which previously hindered banks from offering crypto custody services. With that barrier removed, financial giants have ramped up their exposure to Bitcoin.
IBIT’s momentum hit a new high on April 28, when it recorded its second-largest daily inflow of nearly $970.9 million, pushing its Bitcoin holdings above 600,000 BTC. It now controls three times more Bitcoin than Fidelity’s FBTC, its closest ETF rival.
Market Momentum Supports Institutional Shift
As IBIT gains ground, Bitcoin’s price has also trended higher. At the time of writing, BTC is trading at $97,026, up nearly 3% in 24 hours. Over the past month, the cryptocurrency has surged 29%, and it boasts a 52% gain year-over-year, reinforcing the institutional pivot in its favor.
Conclusion: Bitcoin’s Ascent Over Gold is Reshaping Wall Street
The inflow lead marks a significant moment: Bitcoin beats gold in what has historically been gold’s domain. As IBIT flips GLD in YTD flows, it’s becoming clear that Wall Street’s portfolio strategies are evolving, with Bitcoin at the center of that transformation.
