• Bitcoin ETFs saw millions in outflows amid Trump-Musk tensions and market uncertainty.
• JPMorgan Chase plans crypto-collateral loans, signaling growing institutional faith in Bitcoin’s future.

Tensions escalating between former President Donald Trump and tech entrepreneur Elon Musk are impacting the digital asset market, with U.S. Bitcoin [BTC] exchange-traded funds (ETFs) showing signs of strain.

Following a brief recovery earlier in the week, spot BTC ETFs experienced fresh outflows amounting to $278 million on 5th of June, based on SoSoValue dataNotably, institutional Bitcoin ETF holdings shrank in early 2025, marking their first quarterly decline since the launch of spot ETFs in the U.S., reflecting increased investor caution amid the political turmoil and changing market dynamics.