Citigroup has raised its 12-month Bitcoin price target to $113,000 from $82,000, citing stronger crypto market activity, renewed inflows into U.S. spot Bitcoin exchange-traded funds, and a more supportive macroeconomic backdrop. The bank also lifted its Ether target to $3,028 from $2,240 and said it expects roughly $5 billion in crypto inflows over the next twelve months.

Citi Raises Bitcoin Target as Institutional Demand Returns

Citi increased its Bitcoin forecast by $31,000 in a note dated Wednesday, according to a Reuters report. The revised target represents an increase of about 38% from the bank's previous $82,000 projection. Twelve-month targets from major U.S. banks are widely cited reference points in institutional digital asset research.

The bank expects cryptocurrency inflows to resume at a slower but steadier pace. Advisers and brokerages are expected to gradually increase their Bitcoin allocations as institutional participation develops. Citi also raised its 12-month Ether target to $3,028 from $2,240, noting that the revisions reflect stronger activity across digital asset markets and improving conditions after a weaker period for crypto investment products.

Meanwhile, Citi expects roughly $5 billion in crypto inflows over the next 12 months, a forecast indicating that the bank sees institutional demand rebuilding gradually rather than through a rapid surge.

Citi Bank makes bold Bitcoin Prediction… Citi is taking aggressive steps to upgrade its 12-month institutional price targets. The major American multinational investment bank has raised its $BTC target to $113,000 and the $ETH target to $3,028. The financial institution… pic.twitter.com/g9lM24bZZg

— BSCN (@BSCNews) October 1, 2026
Bitcoin has already recovered significantly from its midyear lows. Reuters reported that Bitcoin gained nearly 40% over the previous three months, reducing its year-to-date loss to about 4%. The asset was trading near $84,000 when Citi's revised target was reported, meaning the $113,000 projection sits roughly 35% above current levels.

Bitcoin ETF Inflows Strengthen Citi's Outlook

Renewed demand from U.S. spot Bitcoin ETFs, which hold Bitcoin directly and have served as a primary channel for institutional exposure since their January 2024 launch, is a key factor behind Citi's revised forecast. The funds experienced significant outflows earlier in 2026 before reversing direction during September.

Data from Farside Investors shows that U.S. spot Bitcoin ETFs recorded approximately $3.08 billion in cumulative net inflows from Sept. 17 through Sept. 29. The funds then posted a $148.7 million net outflow on Sept. 30, ending the positive streak. For scale, Citi's $5 billion full-year estimate implies a much slower daily pace than the roughly $3.08 billion U.S. spot Bitcoin ETFs recorded between Sept. 17 and Sept. 29 alone, in line with the bank's gradual-rebuild framing.

The earlier recovery followed $5.8 billion in cumulative net outflows by mid-July. By late September, however, year-to-date ETF flows had returned to positive territory, indicating that demand had recovered from the earlier weakness. The latest withdrawal shows that ETF demand remains uneven despite the broader improvement, although the strong inflows recorded across much of September provide recent evidence of renewed institutional interest through regulated investment products.

Citi expects this demand to continue at a measured pace over the coming 12 months.

The broader crypto market has also strengthened. Ether gained nearly 68% over three months, while its year-to-date loss narrowed to around 9%, according to Reuters.

Macro Conditions and Regulation Remain Key Factors

Citi also linked its improved outlook to changes in the broader economic environment. The bank pointed to a softer dollar and increased purchases of longer-dated U.S. government bonds by the U.S. Treasury. The Treasury's bond-buyback activity helped support momentum across risk assets, according to Citi's assessment, although elevated Treasury yields continue to influence liquidity conditions and investor appetite.

Regulatory developments have also shaped sentiment. The U.S. Senate recently failed to advance the Digital Asset Market Clarity Act, narrowing the immediate path toward comprehensive crypto market-structure legislation. Citi said the setback was partly offset by subsequent Securities and Exchange Commission rule announcements, which helped reduce some of the negative sentiment surrounding the regulatory setback. Daily ETF flow prints, the trajectory of the dollar and Treasury yields, and any renewed Senate action on market-structure legislation are the observable markers to track against Citi's stated assumptions over the coming year.

The latest forecast nonetheless remains below Citi's earlier projections. The bank previously held a $143,000 Bitcoin target before reducing it to $112,000 and then to $82,000 as ETF demand weakened. The revision therefore reflects a changed assessment of institutional demand rather than a return to the bank's highest forecast.

Citi now expects Bitcoin to reach $113,000 over the next 12 months, supported by approximately $5 billion in anticipated crypto inflows.