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BlackRock’s Bitcoin ETF has attracted $25 billion in 2025 despite posting negative returns, ranking sixth among all ETFs for inflows and outpacing the SPDR Gold Shares fund—a sign institutional investors are treating Bitcoin as a long-term allocation rather than a momentum trade.
According to data shared by Bloomberg ETF analyst Eric Balchunas, BlackRock Bitcoin ETF IBIT continues to attract capital at a pace that outshines many high-performing traditional assets.
While equity and bond ETFs ahead of IBIT on the inflow leaderboard posted double-digit gains, IBIT remained in negative territory for the year.
Even more striking, SPDR Gold Shares (GLD), which is up more than 60% year-to-date, attracted less capital than the BlackRock Bitcoin ETF, underscoring Bitcoin’s growing role in institutional portfolios.
“This is actually a really good sign,” Balchunas wrote on X, emphasizing that ETF flows reveal more about long-term behavior than short-term returns.
“If you can do $25 billion in a bad year, imagine the flow potential in a good year,” he added, describing the inflows as a HODL clinic driven largely by older, long-term investors.
The strong BlackRock Bitcoin ETF inflows have sparked debate across crypto markets, with some investors questioning why sustained ETF demand hasn’t translated into stronger Bitcoin price performance.
Responding to those concerns, Balchunas suggested Bitcoin may now be behaving like a more mature asset class.
Instead of relentless upside chasing, early holders are increasingly taking profits, reallocating capital, or deploying income-generating strategies such as selling call options.
He also pointed out that Bitcoin surged more than 120% last year, making a period of consolidation not only reasonable, but expected.
Despite its strong year-to-date ranking, BlackRock Bitcoin ETF flows have not been immune to volatility. On Friday alone, U.S. spot Bitcoin ETFs recorded $158 million in net outflows, with Fidelity’s FBTC standing out as the only fund to post inflows.
Spot Ether ETFs also extended their losing streak, logging $75.9 million in outflows across seven consecutive days.
Still, analysts stress that short-term ETF movements do not undermine the broader structural case for Bitcoin exposure.
The BlackRock Bitcoin ETF faced notable pressure in November, with IBIT recording approximately $2.34 billion in net outflows, including two major withdrawal days mid-month. However, BlackRock executives have been quick to dismiss concerns.
Speaking at Blockchain Conference 2025 in São Paulo, Cristiano Castro, BlackRock’s business development director, said the firm’s Bitcoin ETFs have become one of its most significant revenue drivers.
ETFs are built to facilitate capital allocation and cash-flow management, Castro explained. Compression phases and outflows are a natural part of that process.
The ability of the BlackRock Bitcoin ETF to attract billions during a down year is increasingly viewed as a structural validation of Bitcoin’s place in global finance.
Analysts argue the trend reflects a slow but decisive shift toward long-term allocation rather than speculative trading.
As institutional investors continue to treat Bitcoin like a core asset rather than a momentum trade, the BlackRock Bitcoin ETF may be laying the groundwork for explosive inflows when market conditions turn favorable again.
