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Bitcoin ETFs suffer record $935 million net outflows as investors turn risk-averse

Bitcoin ETFs suffer record $935 million net outflows as investors turn risk-averse
US spot Bitcoin ETFs experienced significant net outflows totaling around $935 million on Tuesday, contributing to total losses of approximately $1.5 billion for the week so far. The outflows occurred during a crypto market sell-off prompted by growing macroeconomic concerns following President Trump's tariff threats. Fidelity's FBTC saw the largest outflows with approximately $344 million, followed by BlackRock's IBIT with nearly $162 million. Bitcoin's price has dropped to its lowest level since November, currently trading at $88,000, down 7% over the past week. The overall crypto market cap has also declined by 3.5% in the last 24 hours. The market downturn has led to $1.6 billion in leveraged liquidations, leading former BitMEX CEO Arthur Hayes to warn of a potential market downturn as hedge funds unwind their basis trades involving Bitcoin ETFs. The market turmoil is attributed to President Trump's reactivation of tariffs on goods from Mexico and Canada, reigniting inflation fears and causing investors to retreat from risk assets.

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