Bitcoin’s Long-Term Outlook Outshines Gold Despite Short-Term Pullback: Analysts

While gold has recently reasserted its safe-haven status with a 27% year-to-date surge compared to Bitcoin’s 12% gain, analysts suggest Bitcoin’s path may be brighter long-term. Notably, Bitcoin ETFs continue attracting stronger capital inflows than gold ETFs, signaling sustained institutional interest. Despite a 6% retreat from its $112,000 all-time high (currently trading at $104,726), Bitcoin’s fundamental adoption trajectory and ETF momentum position it for potential outperformance as market conditions evolve.

Gold Reasserts Safe Haven Status, But Bitcoin’s Path May Be Brighter: Analysts

Gold has outpaced bitcoin in recent days, reversing an earlier May trend. The precious metal surged roughly 27% year-to-date, while Bitcoin gained about 12%. Despite this, Bitcoin exchange-traded funds have attracted more capital inflows than gold ETFs in recent weeks.

Market dynamics shifted as Bitcoin retreated over 6% from its all-time high NEAR $112,000, while gold held closer to its record above $3,440 per ounce. "There’s no denying it, Gold had a great year. Especially during the tariffs—even if you’re a hardcore Bitcoiner, you have to respect what gold did in the first quarter," noted Bloomberg ETF analyst Eric Balchunas.

Both assets remain in focus as trade war tensions fuel inflation fears and economic uncertainty. The short-term reversal highlights the ongoing competition between traditional SAFE havens and digital stores of value.

Bitcoin’s $103,000 Plunge Sparks Debate Over Crypto Market Health

Bitcoin’s price retreated to $103,700, marking a 2% decline over 24 hours and stoking fears of a broader crypto downturn. The drop follows last week’s all-time high of $111,970, with U.S. spot Bitcoin ETFs recording $616 million in outflows—the largest single-day redemption since January.

BlackRock’s iShares Bitcoin Trust (IBIT) led the exodus, shedding $430.8 million and ending a 31-day inflow streak. Analysts diverge on interpretation: ETF flows suggest institutional repositioning rather than retail panic, with Kyle Chasse of Master Ventures calling it a ’quiet transfer of supply to the strongest hands.’

The pullback coincides with Bitcoin’s failure to hold above $108,141 after its May 22 peak. Market watchers now scrutinize whether this reflects healthy consolidation or the precursor to deeper losses.

Crypto VC Funding Shows Resilience with $161M Inflows Despite Market Volatility

Venture capital continues flowing into crypto startups amid market turbulence, with $161.1 million deployed across 15 deals in late May. The funding surge demonstrates institutional conviction in blockchain’s long-term potential, even as token prices fluctuate.

Bitcoin-focused treasury firm Twenty One dominated the week’s activity with a $100 million raise, while Conduit Pay secured $36 million for stablecoin payment infrastructure. Artificial intelligence newcomer Donut attracted $7 million in pre-seed funding.

The investment spectrum ranged from early-stage pre-seed rounds to Series A financings, with notable participation from Dragonfly Capital, Ribbit Capital, and Sound Ventures. These developments suggest sophisticated investors are building positions during market softness, betting on infrastructure plays and Bitcoin adoption catalysts.

IMF Raises Concerns Over Pakistan’s Bitcoin and AI Energy Plan

The International Monetary Fund has questioned Pakistan’s decision to allocate 2,000 megawatts of electricity to Bitcoin mining and AI data centers amid chronic power shortages. The MOVE follows Islamabad’s recent establishment of a Strategic Bitcoin Reserve and pro-crypto policy shifts.

Budget negotiations between Pakistan and the IMF have grown more contentious, with the Fund demanding legal clarity on the energy allocation. A dedicated session will address the electricity plan for crypto mining operations, complicating ongoing bailout talks under Pakistan’s $3 billion Extended Fund Facility.

BlackRock’s Bitcoin ETF IBIT Hits $72B in Assets Amid 31-Day Inflow Streak

BlackRock’s iShares Bitcoin Trust (IBIT) has cemented its dominance in the crypto ETF space with a record-breaking 31-day inflow streak, amassing $9.31 billion in fresh capital. The fund’s assets under management now stand at $72 billion, placing it among the top five U.S. ETFs by inflows this year.

Bitcoin’s unusual price stability appears to be driving institutional interest. With volatility at historic lows, the cryptocurrency is shedding its speculative image and gaining traction as a macro asset. "IBIT’s performance puts it in the same league as heavyweight traditional ETFs," said Nate Geraci of ETF Store, noting the fund outperformed 4,200+ competitors.

The inflows continued uninterrupted from April 14 to May 2025, with only a single neutral day on May 13. This consistency is remarkable given crypto’s typically turbulent markets. Analysts suggest the ETF structure gives institutional investors the regulatory comfort to gain Bitcoin exposure without direct asset ownership.