US Bitcoin ETFs Grapple with Extended Outflows in 2025 Amidst Trade Tensions
by aria-crypto.com
March 17, 2025 at 14:29
US Bitcoin ETFs Grapple with Extended Outflows in 2025 Amidst Trade Tensions
US Bitcoin exchange-traded funds (ETFs) have been witnessing substantial outflows, totaling over $5.5 billion in the past five weeks. This marks the longest spell of withdrawals since their inception in January 2024. The pullback reflects broader investor concerns tied to U.S. President Donald Trump's contentious tariff policies and ongoing macroeconomic uncertainties. Despite Trump’s initial support for cryptocurrencies, rising trade tensions and economic fears have cast shadows over the bullish sentiments previously held for digital assets. Bitcoin itself has struggled, with its value dropping 12% year-to-date, amid these market fluctuations. Notably, funds from major managers like BlackRock and Fidelity faced significant losses, while Grayscale's GBTC fund saw minor inflows. As investors and analysts watch closely, the future of Bitcoin and other digital assets in these ETF structures remains uncertain, with potential shifts in investor sentiment or regulatory landscapes possibly altering the trajectory. Despite current challenges, there remains a glimmer of hope for recovery should conditions improve.
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