Citigroup Warns of Bitcoin Halving-Season Chill as Prices Sink, ETF Outflows Grow
Overview
Citigroup has issued a warning regarding the current state of Bitcoin, highlighting concerns over a post-halving slump that has persisted into a second year. The bank’s analysis points to significant ETF outflows and the behavior of long-term holders as contributing factors to Bitcoin’s declining price.
Current Situation
Bitcoin is currently experiencing a downturn, which Citigroup attributes to the effects of its halving cycle. The cryptocurrency market is seeing a continuation of a slump that began after the last halving event. This prolonged period of low performance is marked by increased selling pressure from exchange-traded funds (ETFs) and a cautious approach from long-term holders of Bitcoin.
The dynamics of ETF outflows indicate a lack of confidence among investors, as funds are leaving the market rather than being reinvested. Additionally, long-term holders appear to be exhibiting jittery behavior, which may further exacerbate the negative sentiment surrounding Bitcoin’s price movement.
Impact on the crypto market
- Bitcoin is experiencing a prolonged slump following its halving cycle.
- ETF outflows are indicative of diminished investor confidence in the cryptocurrency.
- Long-term holders are displaying caution, contributing to the selling pressure in the market.
- The current market dynamics align with the bank’s bearish outlook for Bitcoin.
- The situation underscores the challenges facing Bitcoin and the broader cryptocurrency market during this period.
Updated: 11/24/2025, 2:25:01 PM
