Is the flow of funds quietly shifting from gold to Bitcoin? How is this signal different this time?

Precious metals signals of topping are becoming increasingly evident. Silver once surged to a historic high of $83, and gold has long been regarded as a safe haven core asset in times of global uncertainty. But recent changes show that these two traditional safe-haven assets are beginning to retreat, while Bitcoin is gaining new attention at this moment. According to the latest news, funds are shifting from precious metals to the crypto market. What does this reflect?

The Battle of Funds Between Gold & Silver Pullback and Crypto Rebound

Where are the signals of topping

The strength of gold and silver once attracted a large amount of risk capital. Analysts believe that the strength of precious metals has limited Bitcoin’s rebound potential. But the recent signs of retreat suggest that this situation may be changing.

The most direct evidence comes from capital flow data. According to the latest news, BTC ETF experienced a net inflow of approximately $458 million from late December 2025 to early January 2026, while gold ETF inflows have significantly slowed. This somewhat confirms the judgment that “some funds are shifting from precious metals to Bitcoin.”

The signals from large investors are the most convincing

Known as the “White House Whale,” Garret Bullish recently publicly stated that gold and silver may have already peaked temporarily, and funds are gradually shifting toward cryptocurrencies. His views are highly regarded due to his past track record.

On-chain data shows that Garret Bullish successfully shorted Bitcoin before policy announcements and made profits of over $160 million. Currently, he controls assets worth about $10 billion, with floating profits of approximately $70 million on long positions in Bitcoin, Ethereum, and Solana. Among them, Ethereum is his largest holding, exceeding $630 million, indicating his confidence in the medium-term trend of mainstream crypto assets.

Will history repeat itself? Data comparison

History indeed offers some reference. During the October last year, when gold and silver corrected, Bitcoin briefly rose about 7%. The current data pattern seems to be repeating a similar story.

But caution is needed

The news explicitly states that one week’s data is not enough to confirm whether the fund rotation is sustainable. More importantly, since November last year, the overall capital inflow trends for gold ETFs and Bitcoin ETFs have both been declining, indicating that global risk appetite remains cautious.

Short-term correlation does not equal long-term trend. Capital flows are influenced by multiple factors:

• The upcoming Federal Reserve interest rate decision
• Changes in regulators’ attitudes toward Bitcoin-related assets
• Reassessment of the “digital gold” narrative by macro funds
• Uncertainty in the global economic situation

Summary

Signals of precious metals topping are indeed emerging, and data on capital flows supports this judgment. But this does not mean a confirmed capital rotation has already begun. Positions and views of major investors like Garret Bullish provide reference, but a week’s ETF inflow data is not enough to change the overall picture. For investors, whether gold and silver have truly peaked may become an important market indicator for the crypto market’s direction in early 2026. Currently, Bitcoin has broken through $90,000 and stands at $91,313, but whether it can continue to rise depends ultimately on whether this wave of capital rotation can truly form a trend.