A record surge in global gold demand during 2025 has reinforced bitcoin’s appeal as a modern digital alternative, according to Ark Invest. The firm highlights rising institutional interest in BTC-USD as a hedge against systemic risk, citing strong correlations with gold and mining sector performance.
- Global gold demand reached 4,600 tonnes in 2025, up 18% from 2024.
- BTC-USD market cap exceeded $2.1 trillion in 2025.
- Bitcoin’s correlation with gold (GLD) rose to 0.74 in 2025.
- GDX index gained 32% in 2025, reflecting strong mining sector performance.
- Institutional allocations to both gold and bitcoin increased significantly.
- Ark Invest sees bitcoin as a digital counterpart to gold’s store-of-value function.
Ark Invest’s latest analysis identifies a significant uptick in gold demand during 2025, with physical bullion purchases reaching 4,600 tonnes—up 18% year-on-year. This surge, driven by central banks in emerging markets and institutional investors seeking inflation protection, underscores growing appetite for tangible store-of-value assets. The firm argues that bitcoin’s role as a decentralized, scarce digital asset mirrors gold’s traditional function. BTC-USD’s market capitalization surpassed $2.1 trillion in late 2025, reflecting increased allocation by hedge funds and asset managers. Ark Invest notes that bitcoin’s correlation with gold (GLD) stood at 0.74 during the year, up from 0.52 in 2023, suggesting a deepening alignment in investor behavior. Mining stocks, represented by the GDX index, also posted strong gains in 2025, rising 32% as bitcoin mining profitability improved due to rising hash rates and lower energy costs. This performance further validates the broader narrative that digital scarcity is gaining institutional credibility alongside physical precious metals. The findings suggest that as economic uncertainty persists, investors are diversifying into both gold and bitcoin, treating them as complementary hedges. This dual asset strategy is reshaping long-term investment frameworks in the financial services sector.