US Bitcoin Demand Hits Record Low as Citadel Sees Bull Market Reset

Citadel Securities says the July selloff in tech stocks reset the bull market, but didn't end it. According to Scott Rubner, Head of Equity and Equity Derivatives Strategy at Citadel Securities, the sharp decline was a result of unwinding crowded trades, not a deterioration of the underlying market.

Retail investors dumped tech stocks in July at an unprecedented rate, with more than 80% over retail equity selling since January 2019. The leverage drained alongside it, with leveraged exchange-traded fund (ETF) assets falling by over $60 billion from their June peak.

The US Bitcoin demand has been negative for a record 78 consecutive days, but Citadel's Rubner believes that this is not a cause for concern. He expects roughly 85% of the S&P 500 by weight to be clear to buy back stock by mid-August.