- Spot Bitcoin ETFs saw a $326 million outflow Tuesday, the biggest drop since March, amid rising global trade tensions.
- BlackRock’s Bitcoin fund lost $253 million as investors shifted to defensive positions ahead of Trump’s 104% China tariff.
- Bitcoin hovered around $77,600, while Ethereum and XRP products also saw notable ETF outflows.
Investors yanked out a hefty $326 million from spot Bitcoin ETFs on Tuesday — and yeah, you can probably guess why. With U.S. trade tensions flaring up again thanks to President Donald Trump’s newest round of tariffs, people are clearly getting jittery.
According to CoinGlass, it was the biggest single-day outflow since March 11, when the same type of products shed about $371 million. So, not quite record-breaking, but still, not great.
BlackRock Feels the Heat
BlackRock’s flagship spot Bitcoin ETF — which has, by the way, pulled in close to $40 billion in net inflows since launch — took a heavy hit. The fund lost $253 million on the day, making it the third worst session for them so far.
That exodus came just as investors were bracing for Trump’s so-called “reciprocal” tariffs to kick in at midnight ET. This isn’t just a China thing either — over 180 countries are in the crosshairs under Trump’s sweeping import duties plan. And yep, China fired back. After the U.S. confirmed that imports from China will face 104% tariffs, Beijing slapped its own 50% levy on U.S. goods — raising the total rate to 84%.
Institutions Backpedal
According to BRN analyst Valentin Fournier, Tuesday’s outflows are basically “a clear signal” that institutional investors are backing off. He pointed out that lower volume compared to Monday suggests a “switch to a more defensive positioning.” Makes sense — no one wants to catch a falling knife.
Spot Bitcoin ETFs are now riding a four-day losing streak. The only good day this month? April 2 — right when Trump dropped his “Liberation Day” tariff bomb. That day, those same ETFs pulled in $218 million. Talk about whiplash.
As of Wednesday afternoon, Bitcoin’s price hovered around $77,600 — down 2.5% in the last 24 hours. On Tuesday, it dipped as low as $75,100, brushing up against its lowest point in about five months.
Not Just Bitcoin
Ethereum wasn’t spared either. Spot Ethereum ETFs saw $3.3 million in outflows on Tuesday, with Fidelity’s fund leading the pack on the downside. It’s not a bloodbath just yet, but it’s not exactly smooth sailing.
Meanwhile, Teucrium’s brand-new 2x Long Daily XRP ETF — which just launched Tuesday and is the first leveraged XRP product in the U.S. — made a bit of a splash. It clocked $5 million in trading volume right out of the gate, according to Bloomberg’s Eric Balchunas.
