Key Points
- Bitcoin inflows ended with a $157 million outflow last week due to renewed tariff wars.
- QCP Capital predicts Bitcoin may remain range-bound within $100k-$110k due to tariff tensions.
The inflow streak for Bitcoin (BTC) in the U.S. ended abruptly last week with outflows amounting to $157 million.
Over the past six weeks, these products have attracted more than $9.6 billion in weekly inflows, but last week’s outflows have brought BTC below $110k.
Impact of Tariff Wars on Bitcoin Flows
James Butterfill, the Head of Research at CoinShares, commented on the reversal of the Spot BTC ETFs flows. He noted that the week started with strong inflows for Bitcoin, which reversed mid-week following the New York Court’s decision to declare U.S tariffs as illegal.
The ETF outflows were led by Ark 21Shares and Fidelity funds.
Last week, President Donald Trump accused China of violating the preliminary trade agreement made in May. This led to the U.S doubling Chinese steel imports to a 50% tariff and expanding tech sanctions.
In response, China dismissed the accusations but warned of taking measures to protect its interests.
Bitcoin’s Outlook Amid Tariff Tensions
Crypto trading firm QCP Capital commented on the macro outlook, stating that tariff tensions would likely drive the macro narrative through June. The firm added that volatility is compressing, risk reversals are normalising, and perp funding has gone flat, pointing to muted price action ahead.
QCP Capital predicts that Bitcoin may remain range-bound within $100k-$110k.
Glassnode highlighted that profit-taking may stall the rally, especially if new buyers fade while other traders begin locking in more gains.
At press time, demand from new buyers was significant, while profit-taking was relatively modest.
Despite the risk of profit-taking, Bitcoin appeared to be in good condition. However, any macro-driven market rout could accelerate the sell-offs.
