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U.S. spot Bitcoin ETFs suffered $99.86 million in net outflows on Thursday as President Trump’s newly announced tariffs rattled investor confidence. The mass exodus from Bitcoin funds marked a stark reversal from Wednesday’s $220.76 million inflows, underscoring rising volatility.
Leading the ETF losses was Grayscale’s GBTC, which recorded a $60.2 million outflow. Bitwise’s BITB followed with $44.19 million pulled, while Fidelity’s FBTC lost $23.27 million. Other funds, including Ark’s ARKB, VanEck’s HODL, and WisdomTree’s BTCW, also posted significant outflows.
However, BlackRock’s IBIT defied the trend. The largest Bitcoin ETF on the market brought in $65.25 million in fresh capital, suggesting that some investors still view Bitcoin as a hedge amid mounting macroeconomic concerns.
Trump’s Tariff Shock Sends Markets Spiraling
The ETF outflows followed President Trump’s bombshell announcement of a 10% tariff on all imports, with some countries facing levies exceeding 50%. The market reaction was swift and brutal: the Nasdaq tumbled 6%, the S&P 500 fell 4.8%, and the Dow lost 3.9%. Bitcoin mirrored the turmoil, dropping over 6%, while spot Ether ETFs saw an additional $3.59 million in outflows, extending a multi-day slump.
Uncertainty Clouds Bitcoin’s Momentum
Bitcoin is currently trading at $84,472, up 1% over the past 24 hours. Yet the sharp drop from Thursday’s $88,500 high highlights the fragility of investor sentiment. Analysts warn that without a significant economic catalyst, Bitcoin’s momentum could continue to waver.
Adding to the caution is a rise in implied volatility (IV), indicating expectations of bigger price swings ahead.
Regulatory Tailwinds Offer Some Relief
Despite the market’s jitters, regulatory signals remain mildly positive. Alankar Saxena, Co-founder of Mudrex, cited growing support for the STABLE Act and the Senate Banking Committee’s endorsement of Paul Atkins as steps toward a more crypto-friendly U.S. policy landscape.
Also Read: Arthur Hayes: Tariffs Are Good for Bitcoin, Triggering Global Imbalances and Printed Money!
As traders brace for further market swings, Bitcoin’s path remains uncertain—caught between policy shocks and emerging signs of regulatory clarity.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
