Citi Analysts: Bitcoin Price Weakness Signals Stock Market Warning, But Liquidity Shift Could Boost BTC and Stocks

Citi analysts report that current Bitcoin (BTC) weakness is sending warning signals to stock markets, indicating potential correlation between crypto and traditional equities. However, the banking giant suggests market liquidity conditions may soon reverse, potentially creating favorable conditions for both Bitcoin and stock market recovery. This analysis comes as investors monitor Federal Reserve policies and global liquidity trends that could impact digital assets and traditional investments. The report highlights how cryptocurrency market movements increasingly influence broader financial market sentiment.