Bitcoin US Demand Hits Record Low as Citadel Predicts Market Reset

American demand for Bitcoin has officially hit a record slump. Data shows US buying appetite has been negative for 78 days straight, marking the longest stretch of thin bids in history. This trend suggests that while speculative money flowed out of other sectors in July, it has not moved back into the Bitcoin market.

Citadel Securities offers a different perspective on the wider economy. Scott Rubner, head of equity strategy at the firm, argues that the recent market selloff was a necessary reset rather than a permanent downturn. He notes that retail investors shifted from buying to heavy selling in July, particularly in tech and semiconductor stocks, which cleared out excessive leverage.

This gap between equity markets and crypto is becoming clear. Rubner expects major companies to resume stock buybacks by mid August, potentially helping the S&P 500 recover. However, the same capital has not arrived at Coinbase order books, where a persistent discount indicates that US traders are still hesitant to commit.

Market analysts remain cautious about the current bounce in price. Because the recent activity is driven by leveraged traders rather than long term cash buyers, some experts worry the current floor is not stable. Investors should watch whether the expected equity gains in mid August eventually spill over into crypto or if the lack of US conviction continues to hold prices back.