Bitcoin ETFs in the US experienced a $5.5 billion outflow in the last five weeks, marking the longest selling streak. US-traded Bitcoin exchange-traded funds (ETFs) reported their longest string of outflows since their launch in January 2024. In the last five weeks, investors reportedly withdrew over $5.5 billion from 12 different Bitcoin ETFs. This significant outflow wave started with the return of US President Donald Trump to the White House and is seen as part of a widespread selling wave targeting risky assets in the markets.

Data compiled by Bloomberg shows that the majority of outflows from Bitcoin ETFs are associated with uncertainties about Trump’s economic and trade policies. Trump’s initiation of new tariffs and remarks regarding the global trade war have led investors to move away from traditional risky assets, which seems to have spilled over to Bitcoin.
Expectations in the crypto markets during Trump’s presidency were that he might provide a more positive regulatory framework for digital assets. However, reactions from investors recently indicate that trade policies and broad macroeconomic fluctuations are suppressing interest in Bitcoin.

BITCOIN STRUGGLES IN 2025: PRICES DOWN 12% SINCE THE BEGINNING OF THE YEAR
After Bitcoin reached record levels in 2024 following Trump’s election victory in November, the digital asset market has been under significant pressure since entering 2025. Bitcoin has lost approximately 12% since the beginning of the year, trading at $83,500 as of 10 AM London time.
Greg Magadini, director of derivatives at Amberdata specializing in crypto derivatives, noted in a memo to investors that “Bitcoin and crypto, in general, are currently entirely directed by macroeconomic developments.” Magadini highlighted that Bitcoin will continue to move alongside risky assets and that the likelihood of following an independent route from traditional financial markets in the short term is low.

WHAT DO THE BITCOIN ETF OUTFLOWS MEAN?
Bitcoin ETFs are viewed as one of the most important tools to increase institutional investors’ access to the crypto market. However, the recent outflows suggest that major investors are changing their risk perceptions towards Bitcoin and beginning to restructure their portfolios. This development could create a possible liquidity issue in the crypto market and make Bitcoin price movements more volatile.
While the uncertainty remains about the duration of this outflow streak in Bitcoin ETFs, market analysts predict that Bitcoin’s direction will be determined primarily by the US economic policies and overall risk appetite in global markets. Investors are closely focused on the steps the Trump administration will take regarding cryptocurrency regulations and trade policies in the coming period.