Key Takeaways
- BlackRock and Fidelity were net buyers of Bitcoin last week.
- Gold has entered a technical bear market.
- Rotation narrative remains contested.
Global markets showed signs of strain on Monday as precious metals extended sharp losses and Bitcoin hovered near recent lows, even as large asset managers BlackRock and Fidelity appeared to step in as buyers.
The moves, driven in part by escalating tensions in the Middle East, have fueled speculation among traders over whether institutional capital is beginning to rotate into crypto.
BlackRock, Fidelity Buying Bitcoin
BlackRock and Fidelity were active on both sides of the Bitcoin market last week, according to data from blockchain analytics firm Arkham Intelligence.
Together, the firms sold roughly $250 million worth of Bitcoin while buying close to $400 million, implying net purchases of around $150 million.
The activity came during a week that still recorded approximately $93.1 million in net inflows into U.S. spot Bitcoin exchange-traded funds.
The mixed flows highlight how ETF mechanics can drive both buying and selling, as creations and redemptions reflect underlying investor demand.
BlackRock’s iShares Bitcoin Trust (IBIT) led inflows over the period, while other funds, including Fidelity’s FBTC and Grayscale’s GBTC, experienced intermittent outflows.
As recently reported by CCN analyst Victor Olanweraju, the four largest Bitcoin ETF trading volume days since inception have taken place over the last few weeks.
- March 2 — the record for the single-largest day of ETF activity in the instrument’s history, at $31.6 billion.
- February 23 — $23.2 billion.
- March 18 — $21.4 billion.
- March 19 — $21.1 billion.
“That concentration of extraordinary volume activity in such a compressed timeframe is not coincidental,” Olanweraju wrote.
Adding: “It is a direct response to the geopolitical and macro volatility that has defined the market since the escalation of the Middle East conflict.”
Bitcoin Under Pressure but Stabilising
Bitcoin has fallen significantly from its record high of around $126,000 in October 2025 and is now trading in the $68,000–$70,000 range, down roughly 45%.
Recent price action suggests continued pressure at the start of the week, with Bitcoin dropping from about $71,000 to near $68,000, breaking below the $69,000–$69,500 support zone.
Some analysts have pointed to early signs of near-term stabilisation, with the potential for sideways movement or a modest rebound, although upside momentum appears limited.
Gold Losses Mount
At the same time, precious metals have come under sustained pressure.
Gold has dropped more than 20% from its all-time high, leading some analysts to classify the move as a bear market. The decline has surprised many investors, given that gold typically strengthens during periods of geopolitical tension.
Developments in the Middle East, including reports of increased U.S. military presence and heightened risks around the Strait of Hormuz, have kept markets on edge.
Despite the selloff, JPMorgan analysts described the move as “an extremely brutal flush” but maintained a constructive longer-term outlook.
“The longer the energy disruption persists, and the greater the impact on inflation and growth, the more likely it is that gold’s backdrop turns materially bullish again,” the bank said.
Rotation or Temporary?
The divergence between institutional Bitcoin buying and falling precious metals prices has sparked debate over whether capital is rotating into digital assets.
On the surface, flows appear to support a rotation narrative.
BlackRock and other ETF issuers have continued to attract net inflows even during periods of price weakness, suggesting institutions are adding exposure to Bitcoin while traditional safe havens come under pressure.
At the same time, gold’s slide into a technical bear market points to capital exiting—or at least being temporarily withdrawn from—precious metals.
However, the shift may reflect portfolio diversification rather than a direct substitution. Some analysts argue institutions are broadening their defensive allocations, with Bitcoin emerging as a parallel store of value alongside gold.
Still, the case for a clear rotation remains contested.
Erik Norland, chief economist at CME Group, said the relationship between crypto and traditional safe-haven assets such as gold remains weak, noting that digital assets have shown near-zero correlation with both gold and the U.S. dollar.
This suggests that institutional flows into Bitcoin may not be coming directly from gold, but instead reflect separate allocation decisions driven by distinct mandates.
That view is reinforced by ETF flow dynamics.
Bitcoin ETF inflows tend to be driven by demand for crypto exposure, while gold’s recent decline has been linked to broader tighter financial conditions and geopolitical uncertantiy.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
