Bitcoin ETFs Ditch $1 Billion: Wall Street Throws a Tantrum 🤦‍♂️ BTC Plummets

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US spot Bitcoin ETFs (exchange-traded funds) are bleeding like a vampire in the sunlight, with net outflows nearing $1 billion on Tuesday. Weekly outflows are almost hitting $1.5 billion, which is just… wow.

And it’s not just a bad day at the office. The market is in full-on panic mode, thanks to President Trump’s tariff threats. You know, the guy who thinks tweeting about tariffs is a good idea. 🤦‍♂️

Data from Farside Investors and Trader T’s analysis shows that Bitcoin ETF net outflows hit a staggering $937 million on Tuesday. Fidelity’s FBTC led the charge with $344 million in outflows, followed by BlackRock’s IBIT with $164 million. Bitwise’s BITB and Grayscale’s BTC each lost $88 million and $85 million, respectively. Franklin Templeton’s EZBC shed $74 million, while Grayscale’s GBTC and Invesco’s BTCO declined by $66 million and $62 million, respectively. Valkyrie, WisdomTree, and VanEck’s funds also reported outflows, with BRRR, BTCW, and HODL losing $25 million, $17 million, and $10 million, respectively.

These outflows are like a Black Friday sale, but for panic. On December 19, US spot Bitcoin ETFs saw nearly $672 million in withdrawals after Bitcoin dipped below $97,000. According to crypto investor Dissolve DC, this is Wall Street’s way of saying, “Thanks, but no thanks.”

“We asked Wall Street to join the party this is what we get,” remarked the investor, shaking his head in disbelief.

Experts blame the panic on President Trump’s tariff confirmations, which have triggered up to $1 billion in liquidations across crypto markets. As BeInCrypto reported, Trump reactivated talks of tariffs on goods from Mexico and Canada, reigniting inflation fears and pushing investors away from risk assets.

“We’re on time with the tariffs, and it seems like that’s moving along very rapidly…We’ve been mistreated very badly by many countries, not just Canada and Mexico. We’ve been taken advantage of,” Reuters reported, citing Trump at the White House.

In the immediate aftermath, BTC lost its crucial support at $91,000 and is now trading at $88,928. This is not a drill, folks. The market is feeling the heat, and the outflows from digital asset investment products last week reflect the same sentiment.

On the daily timeframe, the BTC/USDT trading pair shows a shift in market structure. Bitcoin price dropped below a key bearish breaker level around the $93,700 area, adding to the overhead pressure. The price is approaching the 200-day EMA at $85,696, which is crucial support. A breakdown below this could accelerate bearish momentum. If the 200 EMA fails, the next major support lies in the $67,797–$70,000 demand zone, where buyers might step in.

The RSI (Relative Strength Index) is at 29.80, indicating oversold conditions for BTC but with no clear reversal signal. The MACD (Moving Average Convergence Divergence) shows a bearish crossover with deep negative histogram values, reinforcing the downtrend. A high-volume node (grey for bears) exists around $91,000, acting as immediate resistance. The low-volume area below the current price suggests a potential sharp move downward.

Overall, Bitcoin is at a crucial support level. If buyers (yellow bars for bulls) defend the 200 EMA, a rebound toward $91,000 is possible. However, a break lower could lead to $70,000 in the coming weeks. IntoTheBlock’s Global In/Out of the Money metric corroborates the outlook. It shows Bitcoin faces immediate resistance (red). Any efforts to move the price up would be countered by selling pressure from approximately 6.11 million addresses, which bought 4.1 million BTC at an average price of $98,050.

Meanwhile, Bitcoin’s initial strong support lies around the $72,500 level, where 6.76 million addresses hold approximately 2.65 million BTC bought at an average price of $65,304. So, buckle up, it’s going to be a bumpy ride. 🚀

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2025-02-26 10:11