Business 3 min read By Callum Montgomery
Citigroup raises 12-month Bitcoin target to $113,000
Citigroup has lifted its 12-month Bitcoin price forecast from $82,000 to $113,000, citing renewed crypto interest, ETF inflows and a weaker dollar, while also raising its Ethereum target.
Citigroup has raised its 12-month Bitcoin price target to $113,000 from $82,000, arguing that renewed interest in cryptocurrencies and a more favourable market mood will drive the world's largest digital asset higher over the coming year.
The US investment bank also marked up its outlook for Ethereum, lifting its future target for the second-largest cryptocurrency to $3,028 from $2,240. The revisions mark a sharp change in tone after a prolonged period in which crypto prices stagnated or fell.
At the centre of Citigroup's case is demand for crypto-backed exchange-traded funds. The bank expects inflows into these products to reach $5 billion over the next year, providing a fresh source of buying pressure. It also pointed to the US Treasury Department's decision to buy back longer-dated bonds and a weakening dollar as factors that should help revive momentum for digital assets.
The new forecasts follow a turbulent stretch for Bitcoin. The token fell from a high of $124,000 in October 2025 to a low of $58,000 in June. Its fortunes began to turn in mid-August, when the Treasury's bond-buyback announcement helped spur a price jump. By September, Bitcoin had crossed $80,000 for the first time in four months and has since traded around that level.
Fund flows have been similarly uneven. This year has been choppy for spot Bitcoin ETFs. In May and June, these funds recorded nearly $7 billion in outflows, according to data from the analytics platform SoSoValue. The trend began to reverse in July, and spot Bitcoin ETFs surpassed $2 billion in inflows in September. Citigroup noted that this recent reversal in ETF flows will contribute to Bitcoin's price surge.
The Treasury's bond-buyback announcement also helped weaken the dollar, giving Bitcoin an additional boost. Historically, a weaker dollar has made investors more willing to take risks, particularly in speculative assets such as cryptocurrencies.
Meanwhile, the US regulatory picture has also given crypto markets a lift. The Clarity Act, a bill that would have set broad rules for the crypto market, failed to advance in the Senate in mid-September. But Bitcoin held up better than some expected. Soon after, the Securities and Exchange Commission moved to use its existing powers to write rules for the industry during the rest of the current administration. Citigroup said those steps helped calm investors' concerns.
The bank's upgraded targets suggest that major financial institutions see the recent recovery in digital assets as more than a short-lived bounce. For investors, the coming months will test whether ETF demand, dollar weakness and regulatory clarity can combine to push Bitcoin towards the $113,000 level Citigroup now expects.
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