Saunders wrote that regulatory catalysts remain critical but added that “the window of opportunity for U.S. legislation this year is narrowing,” pointing to reduced confidence that new rules will arrive in time to drive flows in 2026.
Despite the downward revisions, Citi did not signal a negative long-term outlook, noting that global regulatory progress and continued ETF development could support future growth. The report suggests that near-term price action may depend heavily on U.S. policy developments, while other regions move ahead with clearer digital asset frameworks.
Market reaction to the note has been limited, with prices holding steady and no immediate action following its release.
FAQ Why did Citi lower its bitcoin and ethereum price targets? Citi cited stalled U.S. crypto legislation, reduced ETF inflow expectations and weaker network activity. What are Citi’s new bitcoin and ethereum forecasts? Citi now projects bitcoin at $112,000 and ethereum at $3,175 over the next 12 months. How do ETF inflows impact crypto prices? ETF inflows are seen as a key driver of institutional demand and price appreciation in crypto markets. What could change Citi’s outlook on crypto? Progress in U.S. regulation and stronger ETF demand could improve price forecasts.
