Citi Lifts Bitcoin Target to $113K Amid ETF Inflows and Regulatory Support

Citigroup has revised its 12-month Bitcoin target to $113,000, up from $82,000. The bank cites stronger crypto activity, a supportive macroeconomic backdrop, and renewed exchange-traded fund inflows as factors driving the increase. This is a significant boost for Bitcoin, which has seen a nearly 40% gain over the past three months. The revised target also includes a higher Ether forecast of $3,028, up from $2,240.

The bank expects roughly $5 billion of crypto investment inflows over the next 12 months, driven by advisers and brokerages gradually increasing allocations to Bitcoin. This slower but more durable pace of inflows is expected to provide a more stable source of demand for the cryptocurrency. Citi's revised forecast reflects a more constructive view of crypto demand, but it remains a forecast rather than a guaranteed price outcome.

The bank also points to regulatory developments, Treasury bond purchases, and a softer dollar as factors supporting broader crypto momentum. While regulation remains uncertain, Citi sees regulatory rulemaking as supportive in the near term. The bank's revised forecast is a positive sign for the crypto market, which has seen a significant rebound in recent months.