Citigroup warns that Bitcoin’s weakness may impact the Nasdaq’s performance, while improving liquidity could boost recovery efforts

On November 7th, Citigroup reported that Bitcoin’s weak trading patterns could signal a weakening in the Nasdaq 100 index. A liquidity crunch related to the US Treasury’s cash restructuring has suppressed Bitcoin and other risk assets.

Improved liquidity as the Treasury completes its restructuring may trigger a year-end rebound for Bitcoin and the stock market. Despite AI investments boosting the market, investor skepticism persists over returns, compounded by rising hardware costs and supply constraints.