Bitcoin ETFs Attract $220M in Inflows Despite Market Drop and Trump’s Tariff Announcement

Highlights:

• Bitcoin ETFs attracted $220.7 million in net investment despite market downturns from tariffs.
• Crypto market drops 2.43% as Trump announces new tariffs affecting global trade.
• BitMEX’s Arthur Hayes warns Bitcoin should stay above $76,500 through U.S. tax day.

On April 2, US-based Bitcoin ETFs attracted a net investment of $220.7 million, despite overall market downturns caused by President Trump’s new trade tariffs. Most of the inflows went into ARK 21Shares’ ARKB and Fidelity’s FBTC, which saw $130.15 million and $118.79 million, respectively. Both had experienced outflows the previous day.

Advertisement

Grayscale’s mini Bitcoin Trust and Bitwise’s BITB also contributed to the gains, adding $34.28 million and $33.38 million in inflows. Other players, such as Franklin Templeton’s EZBC, VanEck’s HODL, and Valkyrie’s BRRR, saw more modest inflows of $10.01 million, $47.33 million, and $2.69 million. Interestingly, BlackRock’s IBIT, the largest asset manager by net assets, bucked the trend with $115.87 million in net redemptions. This marks its first outflow in the last three weeks.

The total net asset value of Bitcoin spot ETFs is $97.35 billion, with an ETF net asset ratio of 5.73% of Bitcoin’s market cap. Cumulative historical net inflows reached $36.24 billion. 

On the other side, spot Ethereum ETFs reacted negatively to Trump’s tariffs, with $51.3 million in withdrawals on April 2. Grayscale’s ETHE had $31.1 million in withdrawals, while BlackRock’s ETHA saw $20.2 million in outflows.

Crypto Market Dip After Trump’s Tariff Announcement

On April 2, President Trump introduced a 10% tariff on most goods entering the U.S., effective April 5. Canada and Mexico are currently exempt from this tariff. However, they still face a 25% tariff due to drug and crime concerns. The 10% tariff will apply if the 25% duties are lifted.

The plan adds a 25% tariff on foreign-made cars, effective at midnight ET. It also imposes “reciprocal” tariffs on 60 countries, set at half their trade barriers on US exports. China faces a 34% tariff, the EU 20%, Vietnam 46%, Japan 24%, India 26%, Taiwan 32%, Indonesia 32%, and Brazil 10%. These tariffs take effect on April 9.

The broader crypto market fell 2.43% in the past 24 hours, with the GMCI 30 index down 4.6%. Bitcoin, after nearing $88,000 earlier, dropped 3% to $82,600. Altcoins were hit harder after Trump’s announcement. Ether fell over 7% to below $1,800, while Solana dropped 6% to around $118. Among the top 10 cryptos, Dogecoin, XRP, BNB, Cardano, and Tron also saw declines, with Dogecoin down 7% and XRP dropping 5%.

Key Price Levels for Bitcoin and Market Outlook

Crypto analyst Ali Martinez identified a key price range for Bitcoin, which is currently between $86,900 and $84,800. Martinez stated that the first side to break on the hourly chart could set the direction for Bitcoin’s next major price movement.

With tariffs now in play, #Bitcoin $BTC is holding a critical range between $86,900 and $84,800. Whichever side breaks first on the hourly chart will likely define the next big move. pic.twitter.com/tIRmcVTT9d

— Ali (@ali_charts) April 2, 2025

BitMEX co-founder Arthur Hayes said the tariffs caused some market turbulence. However, Bitcoin should be fine if it stays above $76,500 through the U.S. tax day on April 15. He also warned traders to stay alert and avoid getting “chopped up” by the market’s wild swings.

Mrkt no likey "Liberation Day", if $BTC can hold $76.5k btw now and US tax day Apr 15, then we are out of the woods. Don't get chopped up!

— Arthur Hayes (@CryptoHayes) April 2, 2025

Advertisement