Crypto Market Crash, Ethereum ETF and Bitcoin ETF Plummet

Bittime - The crypto market crashed in recent days and impacted the flow of funds to crypto-based investment products, including Ethereum ETFs and Bitcoin ETFs. 

In fact, Ethereum ETF net fund flows were at zero over the past week, something that has rarely happened since Ethereum ETFs were approved last year. Read this article to find out more!

Market Crypto Crash, Ethereum ETF dan Bitcoin ETF Sluggish

James Butterfill, Head of Research at CoinShares, revealed that sentiment towards Ethereum ETFs and Bitcoin ETFs is still sluggish amidst the crypto market crash. 

In fact, Ethereum ETF net fund flows were at zero over the past week, something that has rarely happened since Ethereum ETFs were approved last year. 

This was exacerbated by macroeconomic pressures caused by global uncertainty, including President Donald Trump's tariff policy against several large countries.

Read Also: Bitcoin ETF vs Ethereum ETF: Which Performs Better?  

Causes of Crypto Market Crash  

One of the main factors that triggered the crypto market crash last week was a massive sell-off in the technology sector. 

Chinese artificial intelligence company DeepSeek released a large, open-source language model that is said to be much cheaper to train than models from US companies.

This caused investors to sell US technology stocks, which then resulted in a decline in crypto prices, especially Ethereum and Bitcoin.  

Trump's Tariff Policy Also Causes Crypto Market Crash

President Donald Trump's economic policies are also considered to have contributed to the crypto market crash. After announcing import tariffs on Canada, China and Mexico, the market experienced additional pressure. 

However, after Trump and Mexican President Claudia Sheinbaum reached an agreement to postpone the tariffs, the prices of Bitcoin and several other crypto assets began to recover.

Read Also: Here are 10 Ethereum ETFs Traded on US Stock Exchanges  

Crypto Market Crash, Bitcoin ETF Begin to Recover

Unlike the Ethereum ETF, the Bitcoin ETF is starting to recover after experiencing pressure at the beginning of the week when the crypto market crashed. Investors are recorded to have allocated $486 million into Bitcoin ETF products around the world. 

Overall, the crypto market recorded an inflow of over $1 billion after the massive sell-off in the technology sector started to subside.

The recent crypto market crash shows how much influence external factors, such as global economic policies and tech stock movements, have on the crypto industry as a whole.

Read Also: XRP ETF vs HBAR ETF vs SOL ETF, Which Will Be Approved?  

Crypto ETF FAQs

What are Crypto ETFs?

Crypto ETFs are investment products that allow investors to gain exposure to crypto assets without needing to directly purchase or hold the crypto assets. These crypto ETFs trade on exchanges like regular stocks.

How Do Crypto ETFs Work?

Crypto ETFs follow the price movements of a particular crypto asset or group of crypto assets. When investors buy a crypto ETF, they are investing in a portfolio managed by an asset manager without having to own the crypto directly.

What Are the Advantages of Crypto ETFs Compared to Buying Crypto Directly?

The advantages of crypto ETFs are ease of access, professional management, and reduced risks associated with storing crypto assets such as loss or hacking. Additionally, crypto ETFs can be bought and sold on exchanges like regular stocks.

How to Buy Crypto with Bittime

Want to trade sell buy Bitcoins and crypto investment easily? Bittime is here to help! As an Indonesian crypto exchange officially registered with Bappebti, Bittime ensures every transaction is safe and fast.

Start with registration and identity verification, then make a minimum deposit of IDR 10,000. After that, you can immediately buy your favorite digital assets!

Check the exchange rate BTC to IDR, ETH to IDR, SOL to IDR and other crypto assets to find out today's crypto market trends in real-time on Bittime.

Additionally, visit Bittime Blog to get various interesting updates and educational information about the world of crypto. Find trusted articles about Web3, blockchain technology, and digital asset investment tips designed to enrich your knowledge in the world of crypto.

Reference

Decrypt, Bitcoin and Ethereum ETF Flows Fall Amid Crypto Market Chaos, accessed February 4, 2025.

Author: IPR