Bitcoin News Today: Bitcoin Tumbles 6.7% in August Amid ETF Outflows and Tariff Fears

Bitcoin’s price has experienced notable volatility in early August 2025, with the cryptocurrency market recording a 6.7% decline over the first week of the month, according to AInvest [1]. Despite these fluctuations, analysts are interpreting the recent dips as potential opportunities for long-term investors, rather than the start of a prolonged bearish trend [2]. On August 4, Bitcoin dropped below $115,200 amid rising concerns over potential U.S. tariff policies and a broader shift toward risk-averse market behavior [3].

By August 6, Bitcoin had rebounded from a $113,000 low, showing early signs of a potential move back toward $118,000 [4]. This partial recovery has sparked interest among traders and long-term investors, many of whom are viewing the dip as a strategic entry point. Historically, Bitcoin has seen an average return of just 0.96% in August over the past 12 years, suggesting the current weakness may be a recurring seasonal pattern [5].

Meanwhile, the Fidelity Bitcoin ETF reported a $99.1 million outflow on August 6, signaling a possible reallocation of institutional capital toward traditional equities or AI-driven assets [6]. Cumulative outflows from ETFs over the past four days reached $1.3 billion, amplifying concerns about broader market sentiment [7]. However, Bitcoin’s price stabilized above $114,000 and even surpassed the 115,000 USDT threshold on August 6, showing a 1.89% increase over the previous 24 hours [8].

Ethereum ETFs, in contrast, reversed a two-day outflow streak, bringing in over $73 million on Tuesday [1]. This influx of capital into Ethereum-based products is seen as a positive indicator, contrasting with Bitcoin ETF outflows of $196 million on the same day [1]. Analysts like Ryan Rasmussen from Bitwise have highlighted that volatility is a natural part of bull markets and that these dips present strategic buying opportunities [1].

Riot Platforms Inc. also drew attention with its Q2 financial results, transitioning from a loss to a profit of $0.57 per diluted share, a significant improvement from a $0.32 loss in the same period the previous year [9]. B. Riley analysts raised the company’s price target to $16 from $15, maintaining a “Buy” rating [9]. Riot’s strong EBITDA of $302.86 million and a gross margin of 70.1% indicate solid financial health, despite a slight revenue miss [9].

Bitcoin’s price movements have also been influenced by macroeconomic factors, including regulatory developments that have bolstered Ethereum’s position [8]. With the U.S. Federal Reserve’s monetary policy under close watch, many crypto investors are adopting a “buy the dip” strategy, especially with no new regulatory hurdles emerging [11]. Analysts note that the $115,000 level is a key psychological and technical support, and a sustained break below this threshold could trigger further short-term volatility [12].

Looking ahead, CoinCentral analysts predict that August may see another seasonal dip, potentially bringing Bitcoin down to $105,000 before a recovery rally to between $118,000 and $125,000 [13]. This outlook aligns with broader bullish sentiment, as major altcoins like XRP, Solana, and Dogecoin have also shown signs of stabilization, suggesting a potential market-wide consolidation [14].

For long-term investors, the recent corrections have created favorable entry points, especially given Bitcoin’s strong fundamentals and growing institutional adoption [15]. While short-term volatility remains a challenge, the overall market narrative remains intact, with many viewing the dips as opportunities rather than signs of a broader downturn.

Source:

[1] AInvest (2025). "Bitcoin News Today: Cryptocurrency Market Dips 6.7% in August." https://www.ainvest.com/news/bitcoin-news-today-cryptocurrency-market-dips-6-7-august-profit-technical-adjustments-2508/

[2] AInvest (2025). "Bitcoin Slides Below $115K as Market Concerns Rise." https://www.ainvest.com/news/bitcoin-news-today-bitcoin-slides-115k-altcoins-lose-5-5-tariff-fears-2508/

[3] Brave New Coin (2025). "Bitcoin Climbs from $113K Dip." https://bravenewcoin.com/insights/bitcoin-btc-price-today-bitcoin-climbs-from-113k-dip-will-michael-saylors-third-largest-btc-purchase-spark-a-surge

[4] CryptoDnes.bg (2025). "Best Crypto to Buy Now? Bitcoin Price Predicted to Struggle in August." https://cryptodnes.bg/en/best-crypto-to-buy-now-bitcoin-price-predicted-to-struggle-in-august/

[5] Blockchain News (2025). "Fidelity Bitcoin ETF Sees $99.1 Million Outflow." https://blockchain.news/flashnews/fidelity-bitcoin-etf-sees-99-1-million-outflow-impact-on-btc-price-and-crypto-market

[6] Stocktwits (2025). "Bitcoin Drops Below $114K With XRP, Solana, Dogecoin Leading The Slide." https://stocktwits.com/news-articles/markets/cryptocurrency/bitcoin-drops-below-114-k-with-xrp-solana-dogecoin-leading-the-slide/chr1wDcRdPy

[7] The Economic Times (2025). "Ethereum's Position Strengthened by Regulatory Shifts." https://m.economictimes.com/crypto-news-today-live-06-aug-2025/liveblog/123126163.cms

[8] Timothy Sykes (2025). "Riot Platforms Inc. News." https://www.timothysykes.com/news/riot-platforms-inc-riot-news-2025_08_06/

[9] CoinDesk (2025). "August 6, 2025 Cryptocurrency Market Overview." https://www.coindesk.com/

[11] CoinCentral (2025). "Bitcoin (BTC) Price: $105K Dip or $118K Rally." https://coincentral.com/bitcoin-btc-price-105k-dip-or-118k-rally-which-path-will-august-take/