Citi Bumps Up Crypto Forecasts Amid Resurgent Market

Citigroup has raised its price targets for Bitcoin and Ether, citing strong cryptocurrency activity, a supportive macroeconomic backdrop, and resumed exchange-traded fund (ETF) inflows.

The brokerage increased its target for Bitcoin to $113,000 from $82,000 and for Ether to $3,028 from $2,240. The decision is based on the expectation of slower but steadier crypto inflows as advisers and brokerages gradually increase allocations to Bitcoin.

Citigroup forecasts $5 billion in crypto inflows over the next 12 months. This comes after a setback for the broader industry with the US Senate failing to advance The Clarity Act, aimed at creating a regulatory framework for digital assets.