April 22, 2025
By Our Correspondent
Analysts at JPMorgan Chase have reported that Bitcoin is no longer experiencing the safe-haven demand that has recently favored gold.
In a research note, the team, led by managing director Nikolaos Panigirtzoglou, highlighted evident signs of diminishing investor interest in Bitcoin.
The analysts remarked: Bitcoin has not capitalized on the safe-haven inflows that have been advantageous for gold. They noted that the cryptocurrency has faced three consecutive months of outflows from exchange-traded funds (ETFs) and a decline in speculative interest within the futures market. In contrast, gold has consistently attracted investments from both institutional and speculative sources.
“Even with a decrease in market breadth and liquidity, gold continues to receive safe-haven inflows, similar to currencies such as the Swiss franc and the yen,” the analysts explained.
“These inflows are evident in both the ETF and futures markets.”
Global gold ETFs recorded $21.1 billion in net inflows during the first quarter of 2025, which included $2.3 billion from ETFs based in China and Hong Kong. Earlier this month, JPMorgan analysts cautioned that Bitcoin’s position as a safe-haven asset might be diminishing. They noted that the cryptocurrency’s narrative as “digital gold” is facing challenges as gold experiences heightened demand.
The report further indicated that gold is at the forefront of the current debasement trade and remains its primary beneficiary.
JPMorgan continues to view Bitcoin’s estimated production cost as a significant price indicator, despite ongoing concerns. Analysts emphasized that gold remains the principal asset benefiting from currency debasement, identifying $62,000, Bitcoin’s estimated production cost, as a crucial support level.
