Bitcoin Slides to $107K as Traders Shrug Off $1B ETF Inflows

Bitcoin Slides to $107K as Traders Shrug Off $1B ETF Inflows

Old Wallets, Fiscal Tensions, and Tariff Fears Weigh on Price Action

Bitcoin is once again testing investor conviction.

The flagship cryptocurrency slipped to $107,400 on Friday, erasing gains from a $1 billion two-day inflow into spot Bitcoin ETFs. The price drop—roughly 2.8%—came amid a broader atmosphere of economic uncertainty, geopolitical anxiety, and unnerving onchain activity involving decade-old Bitcoin wallets.

$1B in ETF Inflows, But No Price Lift

Over two trading sessions, spot Bitcoin ETFs attracted $1 billion in net inflows, signaling strong institutional demand. Yet Bitcoin prices slid instead of rising, prompting traders to question the underlying dynamics.

Source: CoinGlass — Spot Bitcoin ETF Net Flows (USD)

Analysts suggest that this may simply be a pre-weekend profit-taking cycle, especially with Bitcoin hovering just 1.5% below its recent all-time high near $110,500. But others are pointing to far more ominous signals: fears of a trade war, macroeconomic uncertainty, and massive dormant wallet movements.

80,000 BTC Moves from 2011-Era Wallet

Fueling Friday’s sell-off was the sudden reactivation of a long-dormant Bitcoin wallet, reportedly controlled by a 2011-era miner. Roughly 80,009 BTC, worth over $8.5 billion, moved onchain in a flurry of transactions across eight addresses.

Source: Lookonchain via X

Although no immediate sell-off occurred, the sheer size of the movement spooked markets. Onchain analysts were quick to point out that selling such a vast sum in one go would be self-defeating, likely crashing the price. Still, fear, uncertainty, and doubt (FUD) can weigh heavily—especially in a market as sentiment-driven as crypto.

This isn’t the first time dormant coins have rattled nerves. In May 2025, addresses from 2013 moved 3,420 BTC. In November 2024, another 2,000 BTC shifted from a 14-year-old wallet. Yet these transfers have not historically marked trend reversals.

Macro Headwinds Are Growing

Beyond crypto, the larger economic environment remains fraught. Analysts at Bank of America, led by Michael Hartnett, warned of “bubble risks” following the U.S. government’s approval of a $3.4 trillion fiscal package that includes sweeping tax cuts. Hartnett advised reducing exposure if the S&P 500 reaches 6,300.

Meanwhile, U.S. President Donald Trump has confirmed his administration will proceed with new import tariffs, setting a deadline for trade partners to strike fresh deals by next Wednesday.

Source: The Insider — US Federal Debt as % of GDP

The combined pressure from debt expansion and trade tensions could reduce demand for long-term U.S. bonds, a shift that often bleeds into risk assets like Bitcoin. This macro backdrop is increasingly viewed as the real driver behind Bitcoin’s failure to reclaim $110,000, despite ETF inflows and strong long-term fundamentals.

Conclusion: More Than Just Onchain Movements

Bitcoin’s recent weakness appears to stem from more than one source. While the 80,000 BTC wallet activity is grabbing headlines, the deeper concerns are macroeconomic: swelling U.S. debt, looming tariffs, and fading global confidence in fiscal discipline. For Bitcoin holders, the current moment may be less about whale moves—and more about Washington’s next one.