Citibank: Cryptocurrency weakness stems from slowing ETF inflows and weakening risk appetite.

Wall Street bank Citigroup stated that while the stock market has performed strongly, the cryptocurrency market has recently weakened again, with the massive liquidation in October dampening investor confidence. The sell-off on October 10th lowered the risk appetite of leveraged traders and new spot ETF investors, the latter of whom have withdrawn their investments. Recently, inflows into US spot Bitcoin ETFs have decreased significantly, weakening a key factor supporting the market's optimistic outlook. Citigroup had previously predicted continued ETF inflows as financial advisors and others increased their Bitcoin exposure, but the momentum has now stalled, and market sentiment may remain subdued.