- Bitcoin ETFs saw $326.3 million in outflows amid Trump’s tariff-driven crypto market turmoil.
- XRP ETF launch sparks hope despite bearish sentiment and crypto market downturn.
The recent tariff-driven turmoil triggered by Donald Trump’s policy stance has sent shockwaves across the broader crypto ecosystem, and the ETF market hasn’t been spared, either.
Bitcoin ETF update
As investor sentiment took a hit, Bitcoin [BTC] ETFs recorded substantial capital flight, with outflows totaling $326.3 million, according to data from Farside Investors.
Leading the exit was BlackRock’s IBIT, shedding $252.9 million, followed by Bitwise’s BITB with $21.7 million and Ark 21Shares’ ARKB losing $19.9 million.
Interestingly, some ETFs like Fidelity’s FBTC, Valkyrie’s BRRR, VanEck’s HODL, and WisdomTree’s BTCW reported no activity.
Ethereum ETF analysis
On the other hand, Ethereum [ETH] spot ETFs fared relatively better, with only Fidelity’s FETH seeing $3.3 million in outflows. Other ETFs remained unaffected.
Bitcoin and Ethereum experienced sharp declines in the past 24 hours. BTC fell to $76,040.20, while ETH dropped to $1,451.01. At press time, they reflected dips of 4.53% and 8.09%, respectively.
Technical indicators confirmed the bearish trend for both assets. Their RSI hovered around 30, well below the neutral level. This indicated strong selling pressure.
Source: Santiment
This downward momentum coincides with a noticeable shift in investor sentiment, largely driven by mounting macroeconomic uncertainty.
The community expressed their concerns
As Donald Trump remains firm on imposing a staggering 104% tariff on Chinese imports, the risk of a full-blown global trade war continues to grow. This left the crypto market vulnerable to broader financial stress, as noted in Bloomberg’s recent analysis.
Commenting on the matter, Sean McNulty, Head of APAC derivatives at FalconX, a digital-asset prime brokerage, shared with Livemint,
“It seems like people have given up on a major recovery in crypto in the first half of the year.”
Echoing similar sentiments, Riya Sehgal, Research Analyst at Delta Exchange, told Livemint,
“Bitcoin’s sharp drop below $75,000, triggered by the U.S.’s steep 104 per cent tariff on Chinese imports, highlights how global trade tensions are now key drivers of digital asset volatility.”
She added,
“With over $400 million in liquidations and shorts making up 60 per cent of open interest, investor sentiment has clearly turned cautious.”
XRP ETF offers glimmer of hope
Amid the broader market turbulence, a glimmer of optimism has emerged with the launch of the U.S.’s first Ripple [XRP]-based ETF on 8th April.
Introduced by asset manager Teucrium, the product is designed to deliver twice-daily returns tied to XRP, offering exposure without the need to hold the asset.
This development follows the SEC’s recent dismissal of its case against Ripple, fueling speculation about a possible spot XRP ETF approval in 2025—with market confidence reportedly hovering around 75%.
In an otherwise bearish climate, however, this move could potentially signal progress toward mainstream acceptance of XRP.
Moreover, it might indicate growing institutional interest in the broader cryptocurrency market.
