Bitcoin Plummets Below $64K Amid Investor Exodus and Tariff Threat
Bitcoin's mid-week price rally came to an end on Thursday, causing its value to dip below $64,000. The asset had reached a monthly peak of $67,000 but was unable to sustain its gains.
The first reason for the downturn is the sudden exodus of investors from spot exchange-traded funds (ETFs) tracking Bitcoin. Over the past week, these funds had attracted roughly $1 billion in investments, but on Thursday, they withdrew over $200 million worth of BTC. This trend shift coincided with the asset's initial retracement to around $65,000.
A more recent development suggests that BlackRock has continued to liquidate its ETF positions, sending approximately $203 million to Coinbase Prime. The movement was executed across multiple transactions, including several 300 BTC batches and one 126.168 BTC transfer.
The second reason for the dip is a warning from President Donald Trump about imposing new tariffs on the European Union. This threat has historically had a negative impact on Bitcoin's value, and the past few hours brought another example of this, with the asset retreating to just under $63,000.