Charles Schwab Says Bitcoin Weakness Stems From Fading Momentum, Not Saylor Selling

Charles Schwab said Bitcoin's recent weakness reflects fading market momentum rather than selling by Michael Saylor. The shift has sharpened attention on changing capital flows across the digital-asset market.

CoinDesk reported on June 3 that Jim Ferraioli, an analyst at Charles Schwab, attributed Bitcoin's recent pullback to a loss of upside momentum, not to Saylor.

Ferraioli said Bitcoin had been in a downtrend since October 2025 and bottomed in early February. It later rebounded after major Wall Street firms launched spot exchange-traded funds, but unlike previous cycles, the recovery did not broaden into a wider speculative frenzy.

Crypto investors tend to chase momentum rather than fundamentals, he said, and that momentum has now faded.

He added that speculative money that once flowed into crypto is moving to other investments, including gold, artificial intelligence-related stocks and the initial public offering market.

Ferraioli also said concerns over the market impact of Strategy's recent Bitcoin sale were overstated and that he does not see the transaction as the main driver of price moves.

The biggest challenge facing Bitcoin now is not Saylor, regulation or the macroeconomy, but the absence of bullish momentum in the market, he said.