U.S. Bitcoin ETFs faced significant outflows totaling over $1.6 billion in the first two weeks of March due to escalating trade tensions and economic uncertainty.
Losses and Key Dynamics
According to SoSoValue, the total losses for 12 spot Bitcoin ETFs amounted to $1.67 billion in the first half of March. The main withdrawals occurred from Fidelity and BlackRock products. This marked the fifth consecutive week of asset reduction after a strong start in early 2025.
Market Influencing Factors
Bitcoin's price drop of 14% over the past month has significantly impacted the investment market. Analysts attribute this to the economic situation in the U.S. and geopolitical factors like tariffs imposed by former President Trump's administration. As Bitcoin's price decreased, the total value of all spot BTC ETFs fell by 21.7%, reaching $93.25 billion. Amid this, traditional assets like gold are gaining interest.
Expert Opinions
In the wake of early losses in the Bitcoin ETF market, the situation remains complex. Fakhul Miah from GoMining Institutional noted that high inflation readings and anti-inflation measures are pressuring risky assets like Bitcoin. Georgii Verbitskii, founder of TYMIO, pointed out that the decline is becoming less pronounced and the market may stabilize. If volatility begins to decrease, capital inflows from investors might grow. Jess Houlgrave from Reown says the potential for market reversal exists if current economic tensions are resolved.
The Bitcoin ETF market remains unpredictable amid economic uncertainty and trade wars. Expert opinions vary, but many believe the market may stabilize depending on changes in the geopolitical and economic environment.
