Bitcoin Reclaims $86K as Citi's Bullish Forecast Ignites 'Uptober' Rally

The cryptocurrency market is off to a strong start in October, with Bitcoin (BTC) reclaiming the $86,000 level and trading at around $86,150.

This marks a 2.2% gain for BTC, with the broader crypto market also seeing a 1.9% increase.

The rally is being attributed to a number of factors, including a bullish price forecast from Citi, which raised its 12-month BTC price target from $82,000 to $113,000.

Citi's forecast is based on stronger crypto activity, supportive macro conditions, and renewed ETF demand, which has contributed to a surge in Bitcoin ETF inflows.

According to CME FedWatch data, the odds of a Federal Reserve rate hike in October have fallen to around 44%, which has also added to the bullish mood around Bitcoin.

However, traders are now watching whether BTC can break through the recent swing high of $86,837.30, which could open the way for further gains.