Why the iShares Bitcoin Trust ETF Plunged in February
Shares of the iShares Bitcoin Trust ETF (NASDAQ: IBIT) fell 17% in February, according to data from S&P Global Market Intelligence. The BlackRock exchange-traded fund essentially tracks the price of Bitcoin.Like most assets considered risky, the Bitcoin ETF plunged in February, as investors grew skittish over the economy. Those fears were prompted by plunging consumer-sentiment readings, as President Trump threatened tariffs on several countries and large-scale federal layoffs led to fears of an upcoming recession.Bitcoin evangelists have touted its possibilities as a store of value in the event other currencies lose value due to inflation. However, as has been the case in recent market history, the cryptocurrency has really behaved more like a volatile technology stock.Continue reading
Shares of the iShares Bitcoin Trust ETF (NASDAQ: IBIT) fell 17% in February, according to data from S&P Global Market Intelligence. The BlackRock exchange-traded fund essentially tracks the price of Bitcoin.
Like most assets considered risky, the Bitcoin ETF plunged in February, as investors grew skittish over the economy. Those fears were prompted by plunging consumer-sentiment readings, as President Trump threatened tariffs on several countries and large-scale federal layoffs led to fears of an upcoming recession.
Bitcoin evangelists have touted its possibilities as a store of value in the event other currencies lose value due to inflation. However, as has been the case in recent market history, the cryptocurrency has really behaved more like a volatile technology stock.
