Over $450M exits spot Bitcoin ETFs as market reacts to trade war

Insights BitcoinETFs

Bitwise's BITB was the only ETF to buck the trend with a $6.7 million inflow.

Spot Bitcoin ETFs saw significant outflows on April 8 and 9, with $326.3 million and $127.2 million withdrawn, respectively. These movements followed a $103 million outflow on April 7, as reported by CryptoSlate.

On April 8, BlackRock’s IBIT recorded the largest outflow, losing $252.9 million. Bitwise’s BITB  and ARK’s ARKB followed, shedding $21.7 million and $19.9 million, respectively. Outflows continued on April 9, led by IBIT with another $89.7 million in redemptions and Grayscale’s BTC product with $33.8 million. The only ETF to see inflows these two days was BITB, which added $6.7 million, showing some isolated demand despite the broader market downturn.

Table showing spot Bitcoin ETF flows from Mar. 24 to Apr. 9, 2025 (Source: Farside)

The increasing withdrawals from spot Bitcoin ETFs are the market’s answer to the escalating trade tensions between the US and China. On April 2, President Donald Trump imposed a reciprocal tariff on Chinese imports, effective April 9, raising the total tariff to 104%.

In retaliation, China announced a 34% tariff on US goods, effective April 10. These actions have heightened fears of a trade war, leading to volatility across financial markets. The S&P 500 and Nasdaq Composite have declined over 15% and nearly 21% year-to-date, respectively.

Bitcoin has not been immune to these developments. Its drawdown widened to 27%, nearing levels observed during the FTX collapse, reflecting the broader market’s risk-off sentiment.

Analyst

Andjela Radmilac

Analyst at CryptoSlate

Armed with a classical education and an eye for news, Andjela dove head deep into the crypto industry in 2018 after spending years covering politics.

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