BlackRock Recommends 1%-2% Bitcoin Allocation for Higher Returns

BlackRock recommended Bitcoin as a 'complementary diversifier' for investment portfolios on June 23, suggesting a modest allocation of 1%-2% to potentially impact return potential while maintaining appropriate risk tolerance. Michael Gates, BlackRock's Head of Model Portfolios Solutions, Americas, Multi-Asset Strategies and Solutions, stated that investors have relied on traditional assets for decades — stocks for growth and bonds for stability. The recommendation comes as the world's largest asset manager continues managing its iShares Bitcoin Trust (IBIT), a U.S. spot Bitcoin exchange-traded fund launched in January 2024.

BlackRock Recommends 1%-2% Bitcoin Allocation for Portfolios

On June 23, BlackRock revealed that it believes a modest allocation of typically 1%-2% to Bitcoin could impact return potential in a portfolio while maintaining appropriate risk tolerance. The asset manager positioned Bitcoin as a 'complementary diversifier' alongside traditional assets.

iShares Bitcoin Trust Records Mixed Flow Performance Since Launch

BlackRock was among the first firms to issue a U.S. spot exchange-traded fund tied to Bitcoin in January 2024. The iShares Bitcoin Trust (Nasdaq: IBIT) posted billions of dollars in inflows within the first few months of the launch, late 2024, and mid-2025.

Following the flash crash in October 2025, the fund saw massive outflows:

• November 2025: $2.34 billion
• December 2025: $473.75 million
• January 2026: $136.55 million
• February 2026: $150.29 million

Inflows returned to the fund during March 2026 ($1.40 billion) and April 2026 ($2 billion), followed by outflows again:

• May 2026: $1.41 billion
• June 2026 (as of June 23): $2.09 billion

As IBIT tracks the price of Bitcoin, the fund's performance also reflects that of Bitcoin.

Bitcoin Trades at $59,692 After 50% Decline from All-Time High

The leading cryptocurrency hit the all-time high of $126,080 on Oct. 6, 2025, and has lost more than 50% of its value since then. Bitcoin was trading at $59,692 at the time of writing, as per Decibel.

FAQ

What Bitcoin allocation did BlackRock recommend on June 23?

BlackRock recommended a modest allocation of typically 1%-2% to Bitcoin for investment portfolios. The asset manager stated this allocation could impact return potential while maintaining appropriate risk tolerance.

How has BlackRock's iShares Bitcoin Trust performed in June 2026?

The iShares Bitcoin Trust (IBIT) recorded $2.09 billion in outflows as of June 23, 2026. The fund has experienced mixed performance with alternating periods of inflows and outflows since its launch in January 2024.

What is Bitcoin's current price compared to its all-time high?

Bitcoin was trading at $59,692 at the time of writing. The cryptocurrency reached an all-time high of $126,080 on Oct. 6, 2025, representing a decline of more than 50% from that peak.