Citigroup Raises Bitcoin Price Forecast to $113,000 for the Next 12 Months
Citigroup raised its 12-month price target for Bitcoin to $113,000 on Thursday, up from a previous forecast of $82,000. The bank also lifted its forecast for Ethereum, the second-largest cryptocurrency, to $3,028 from $2,240.
The revised targets follow weeks of recovery in cryptocurrency markets after a prolonged slump. Bitcoin had reached a high of $124,000 in October 2025 before falling to a low of $58,000 in June. The decline reversed in mid-August, following an announcement from the U.S. Treasury Department that it would buy back longer-dated bonds, which helped spark renewed interest in digital assets. By September, Bitcoin had climbed past $80,000 for the first time in four months and has traded near that level since.
Citigroup attributed its more optimistic outlook to several factors. The bank pointed to renewed demand for crypto-backed exchange-traded funds, projecting that inflows into these funds could reach $5 billion over the next year. It also cited the Treasury's bond-buyback plan and a weakening U.S. dollar as supportive conditions for digital assets. A weaker dollar has historically made investors more willing to take on risk, including in speculative markets like cryptocurrency.
The ETF market itself has shown a notable shift in recent months. According to data from analytics platform SoSoValue, spot Bitcoin ETFs saw nearly $7 billion in outflows during May and June. That trend began to turn around in July, and by September, spot Bitcoin ETFs had logged more than $2 billion in inflows. Citigroup said this reversal in fund flows is expected to continue supporting Bitcoin's price.
Regulatory developments have also played a role in stabilizing investor sentiment, according to the bank. The Clarity Act, legislation that would have established broader rules for the crypto industry, failed to advance in the Senate in mid-September. Despite that setback, Bitcoin's price held up better than some had anticipated. Shortly afterward, the Securities and Exchange Commission signaled it would use its existing regulatory authority to write rules for the crypto industry for the remainder of the current administration. Citigroup noted that this move helped ease some of the uncertainty that had been weighing on the market.
Who this affects
These forecasts are most relevant to people who already hold or are considering holding Bitcoin, Ethereum or related exchange-traded funds, as well as those who follow broader market trends tied to Treasury policy and the U.S. dollar. Financial institutions, fund managers and everyday investors with exposure to crypto assets may also be watching these projections as part of their broader market outlook.
It is worth noting that Citigroup's figures are a forecast, not a guarantee, and reflect the bank's current analysis of market conditions. Cryptocurrency prices have shown significant volatility over the past year, swinging from a high of $124,000 to a low of $58,000 within a matter of months. Forecasts can change as new data, regulatory decisions or economic conditions emerge.
For households trying to make sense of how developments like these fit into their broader financial picture, it can help to understand the underlying forces at play, including how fund flows, interest rates and regulatory shifts interact with asset prices. This site's writer focuses on breaking down money, insurance and benefits news in plain language, so readers can follow stories like this one without needing a background in finance.
As always, specific numbers tied to forecasts, including the $113,000 Bitcoin target and the $3,028 Ethereum target, reflect Citigroup's own analysis and are not a projection of what any individual investor might see in their own holdings. Readers who want to understand how market shifts like this might relate to their personal finances are encouraged to speak with a licensed financial professional who can review their individual circumstances.
According to this latest blockchain bitcoin forecast from Citigroup analysts, institutional adoption and macroeconomic factors are driving the substantial price target increase.
This bullish projection reflects growing institutional confidence in Bitcoin as a store of value comparable to bitcoin gold reserves.
Source: Fortune
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