The Aftermath of the Trump-Musk Feud: Bitcoin ETF Market Sentiment Turns to Panic

The ongoing dispute between U.S. President Donald Trump and billionaire Elon Musk has deteriorated market sentiment, leading to a decline in U.S. Bitcoin exchange-traded funds (ETFs).

According to data from SoSoValue, after a brief rebound from June 3 to 4, the U.S. spot Bitcoin ETF (valued at $103,736) experienced another outflow of funds on June 5, totaling $278 million.

As funds flowed out, the cryptocurrency fear and greed index shifted from 'Greed' to 'Fear' on June 6, which may be a reaction to the previous breakdown of the close relationship between Trump and Musk, a relationship that sparked numerous explosive comments on social media.

This shift in sentiment is not unique to Bitcoin and cryptocurrencies, as many investors also feel panic over this dispute. According to TradingView data, Tesla (TSLA) stock plunged 14%, while Trump Media (DJT) stock fell 8%.

Bitcoin ETF in Trouble

The latest outflow of funds from the U.S. spot Bitcoin ETF occurred after a series of outflows between May 29 and June 2, where $1.2 billion flowed out in just three trading days, followed by a two-day rebound.

In the past week, the global Bitcoin exchange-traded products (ETFs) saw an outflow of $8 million, while the Ether (ETH) ETF (at an issuance price of $2,475) saw inflows of up to $321 million.

According to SoSoValue data, the ARK 21Shares Bitcoin ETF (ARKB) under ARK Invest led the outflows on June 5, with an outflow amounting to $102 million. On that day, all funds experienced no inflows.

Ether ETF Hit, but Continues to See Steady Inflows

In the dispute between Trump and Musk, Bitcoin ETF saw outflows, while the Ether ETF continued to experience inflows on Thursday.

According to SoSoValue, on June 5, the U.S. spot Ether ETF saw inflows of $11.3 million, marking 14 consecutive days of inflows. Nevertheless, yesterday's inflow was still significantly lower than the $56.9 million on June 4 and $109.4 million on June 3.

With improvements in the network's fundamentals and the resilience of the ETH futures market, Ether ETP has garnered attention. $BTC #特朗普马斯克分歧