Bitcoin ETFs May Triple Gold Assets, Analyst Predicts

Bloomberg senior ETF analyst Eric Balchunas believes that spot Bitcoin exchange-traded funds (ETFs) could surpass gold ETFs in size, possibly reaching three times their current assets. This prediction comes as Bitcoin ETF assets approach $100 billion, nearing a milestone in the product category's history.

According to Balchunas, Bitcoin is currently highly volatile but may change its character over time. He likened Bitcoin to 'gold in its teenage years', noting that gold has 5,000 years of history while Bitcoin is only 17 years old.

He pointed out that younger investors are driving the expansion of the Bitcoin market. Balchunas stated that Generation Z is likely to look for alternatives to the existing financial system due to expanding government spending and rising prices.

The analyst emphasized that the government cannot seize Bitcoin, which he considers a strength in its appeal as a safe-haven asset and alternative to gold. He also noted that 2025 was the year with the lowest volatility in Bitcoin's short history.