Citi: Real BTC problem is lack of new buyers, not MicroStrategy's sale

Citi believes the real problem facing Bitcoin is not MicroStrategy's pre-announced sale of BTC, which it views as a simple tax-saving strategy, but rather the disappearance of new buying pressure from sources like ETF inflows, CoinDesk reported. According to the bank, market sentiment has become very subdued. The fundamental crisis lies not in corporate selling pressure but in the absence of new buyers and fresh capital to push the market higher. Citi added that investor sentiment is struggling to recover as the probability of the U.S. Clarity for Digital Tokens Act passing Congress this year diminishes. The bill had been seen as a powerful catalyst for large-scale institutional inflows. Barring a dramatic regulatory reversal, Bitcoin is likely to continue its sideways or corrective trend for the time being.