Bitcoin ETF recorded a second consecutive month of net outflow due to weak retail profits slowing inflows.
The Bitcoin ETF lost momentum after a strong January. The outflow continues for two months as retail profits weaken and investor enthusiasm declines.
📊Today’s #Matrixport Daily Chart – April 1, 2025 🔽
Bitcoin ETF momentum fades as retail stalls and gold outshines
– Matrixport official (@matrixport_en) April 1, 2025
In a recent research article on X, analysts at blockchain company Matrixport said that while the total inflow over the course of a year was $1.05 billion, this is mainly due to strong January when funding saw a surge of $5.3 billion. Since then, March has seen net spills and has slowed down the inflow.
“Bitcoin ETFs rely heavily on lucrative funding rates and arbitrage opportunities. A meaningful pickup of Bitcoin ETF inflows seems unlikely in recent years.”
Matrixport
Retail investors are less active in the crypto market compared to previous cycles. This could be limiting demand for Bitcoin ETFs, analysts suggested, adding that the influx “is not showing strong momentum” due to crypto retail speculation.
Additionally, Bitcoin ETFs are chasing other investment options, with recent performance lagging behind proxy assets like gold, which continues to reach new all-time highs.
As QCP Capital analysts pointed out in a telegram post, the market is currently focusing on President Donald Trump’s “liberation date” announcement on April 2, with the hopes of announcing new mutual tariffs. Analysts pointed out that consumer reliability at 12-year lows, which have already been pressured by a weekly 4-5% drawdown, could deepen the fear of a recession and place more emphasis on risky assets, including Bitcoin (BTC).
read more: Matrixport: Memocoin market is still in a recession despite improved global liquidity
