I updated the "Default Link Type" to "Direct"(Specific People) both at Tenant level and site level.
At Tenant level, I updated using the URL: https://Tenant-admin.sharepoint.com/_layouts/15/online/ExternalSharing.aspx
At site level, I updated using the PS Script :
Set-SPOsite -Identity SiteURL -DefaultSharingLinkType Direct
But still when I go to a document library in that site --> select any document --> clicked on "copy Link" ,it shows "People with existing access" as the default value instead of "Specific People"
How to fix this?