Retail gold purchases have tripled over the past six months while institutional selling has accelerated, according to a quarterly review from the Bank for International Settlements. The report attributes outsized price swings in precious metals to retail-driven demand channeled largely through exchange-traded funds.
Cumulative retail inflows into gold ETFs rose from around $20 billion to roughly $60 billion between late Q3 2025 and the end of Q1 2026. Institutional selling began around mid-November and picked up pace after precious metals started correcting in January.
Gold is currently down 9% from its late January all-time high, while silver has dropped 34% over the same period, according to GoldPrice. Leveraged ETF rebalancing and margin-triggered liquidations amplified the declines, particularly in silver.
The BIS links the price drops to shifting expectations around US monetary policy and a stronger dollar, which has gained 4.7% since late January per the DXY index.
Originally reported by CoinTelegraph.
