TLDR
- Citi lowered its bitcoin target to $82,000 after ETF flows weakened and investor demand cooled sharply.
- Ether’s 12-month target fell to $2,240 as broader crypto market sentiment remained under pressure.
- Citi cut expected ETF inflows to zero from $10 billion over the next year.
- Bitcoin ETF flows reportedly fell by $3.3 billion this year, adding pressure to prices.
- Delayed U.S. crypto legislation and AI asset rotation have kept wider investor adoption on hold.
Citi cuts bitcoin, ether forecasts as ETF flows turn negative, with the brokerage reducing its 12-month targets for the two largest cryptocurrencies after a weaker period for digital asset markets. The bank lowered its bitcoin forecast to $82,000 from $112,000, while its ether target was reduced to $2,240 from $3,175. The revised outlook reflects softer investor demand, exchange-traded fund outflows, and slower movement on U.S. crypto legislation.
Citi Reduces Bitcoin and Ether Price Targets
Citigroup’s latest note places bitcoin well below its previous 12-month expectation, as the token has traded far under its record level from last year. Bitcoin was recently quoted at $58,864.27, marking its weakest level since September 2024. The cryptocurrency has lost about half its value from the reported October high of $126,223.18.
Ether also came under pressure in Citi’s revised forecast, with the brokerage cutting its target by nearly $1,000. The token was recently trading at $1,585.63, its lowest level since April 2025. Both bitcoin and ether have been trading below long-term moving-day averages, which Citi linked to a weaker market backdrop.
The brokerage also set out a bear-case scenario tied to recessionary conditions and continued ETF withdrawals. Under that scenario, Citi valued bitcoin at $53,000 over the next year. Ether was placed at $1,094 in the same downside case, reflecting a more cautious view of crypto demand.
ETF Outflows Weigh on Crypto Market Outlook
Citi said the largest change in its forecast came from its decision to reduce expected 12-month net ETF inflows to zero. The bank had previously assumed $10 billion of net inflows over the period. That revision reflects a shift in the role of ETFs, which had earlier supported expectations for broader crypto adoption.
The brokerage said ETF flows remain an important driver of cryptocurrency prices. According to Citi, bitcoin ETF flows have turned negative recently and were down about $3.3 billion so far this year. The weaker flows have added pressure to bitcoin and ether at a time when risk appetite across digital assets has already softened.
Investor attention has also shifted toward expected large initial public offerings and AI-related assets. Citi said broader crypto adoption may remain paused until a new catalyst appears. The bank’s outlook suggests that institutional demand through ETFs is being watched closely as a key measure for future price direction.
U.S. Legislation Delays Add to Investor Caution
Citi also cited limited progress on U.S. digital asset legislation as a factor weighing on sentiment. Market participants have been watching for clearer rules around crypto trading, custody, stablecoins, and institutional participation. Without fresh legislative movement, Citi said investor interest may remain restrained.
The brokerage also pointed to concerns over possible bitcoin selling by digital asset treasury companies. Such concerns have added to caution in a market already facing price weakness and declining ETF demand. The combination has placed pressure on bitcoin and ether while traders assess whether current levels can attract new buyers.
Citi’s revised bitcoin and ether forecasts show a more guarded stance toward the crypto market over the next year. The bank’s assumptions now center on flat ETF inflows, weaker adoption trends, and uncertainty around U.S. policy. The next stage for the market will depend on whether ETF flows stabilize, legislation advances, or investors return to digital assets after rotating into other growth sectors.
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