Spot Gold, GLD Gold ETF, Or Gold-Backed Cryptos: Which Was A Better Investment In February Amid A Downturn In Stocks And Bitcoin?
Risk-on markets plummeted in February thanks to global trepidation fueled by President Donald Trump's tariff war. Consequently, demand for safe haven assets increased, sending gold-related investments higher. What happened: Blue-chip indexes like the Nasdaq Composite and the S&P 500 slid 2.93% and 2.96%, respectively, while Bitcoin BTC/USD, the world's largest cryptocurrency, tanked 22% in a month. Trump's declaration to impose tariffs on major U.S. trade partners, such as China, Mexico, and Canada, has dampened risk sentiment, with critics claiming that it will disrupt critical sectors like auto production and agriculture. Accordingly, demand for gold, seen as a hedge against economic uncertainty, rose. See Also: Jamie Dimon Was A Believer In Smart Contract Cryptos Long Before JPMorgan Hit The Buy Button On Ethereum ETFs: Here’s What The CEO Said Spot gold traded at $2,854.22 per ounce as of this writing, up 6.1% from the previous month and 8.8% year to date. Similarly, SPDR Gold Trust ETF GLD, the world's largest physically-backed gold exchange-traded fund, gained 2.46% in the last month and 9.42% since 2025 began. AssetMonthly Gains +/-Year-to-date Gains +/-Spot gold+6.1%+8.8%SPDR Gold Trust ETF+2.46%+9.42%Tether Gold+4.19%+8.87%PAX Gold+3.37%+8.84%Interestingly, while cryptocurrency investors struggled in the ongoing downturn, they had the option of gaining exposure to the yellow metal via physical gold-backed coins such as Tether Gold (CRYPTO: XAUt) and PAX Gold PAXG/USD. XAUt was up 4.19% over the month and 8.87% year-to-date. PAXG rose 3.37% in a month and 8.84% since the beginning of 2025. The compiled data revealed broadly similar returns by spot gold and gold-backed cryptocurrencies since the beginning of the year, while the GLD ETF generated a higher profit. Read Next: Dogecoin Scooped By Whales In Large Numbers As Memecoin Plunges Further: Analyst Says Rally Toward New Highs On The Cards If DOGE Crosses This Level Photo courtesy: Shutterstock Market News and Data brought to you by Benzinga APIs© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.