Gold draws Asia's new wealth as crypto funds lose $4.2B

Gold recorded its best quarter on record over the same stretch. The World Gold Council put first-quarter demand at 1,231 tonnes, up 2% from a year earlier. The value hit $193 billion, an all-time high, driven by the LBMA price averaging $4,873 an ounce. Bar and coin demand jumped 42% to 474 tonnes, mostly from Asian buyers. Central banks added 244 tonnes to reserves, 3% more than the year before.

HSBC's snapshot did not show a rush out of crypto. Investors are keeping their existing digital asset exposure. The shift is in the direction of new money. Cash holdings are being held for future deployment, the bank said. The survey described a strategy of balancing protection and growth rather than retreating from risk.

The World Gold Council expects geopolitical uncertainty and inflation to keep gold demand elevated through the rest of 2026. Asian investors, it said, would remain the primary buyers of bars and coins. The quarterly average price of $4,873 an ounce set in the first quarter stands as the benchmark.