After a long period of weakness, Bitcoin has continued to strengthen in recent weeks. Citibank indicates that this trend may continue, and on Thursday, it raised its 12-month target price for Bitcoin from $82,000 to $113,000.
This investment bank stated that upward pressure will come from the renewed attention to cryptocurrencies and a more favorable market sentiment.
Citi is also optimistic about Ethereum and has raised its target price for this second-largest cryptocurrency by market capitalization from $2,240 to $3,028.
The investment bank expects that the demand for exchange-traded funds (ETFs) that support crypto assets will drive up prices, with capital inflows reaching $5 billion in the coming year. Citibank also mentioned that the U.S. Treasury Department's decision to repurchase bonds with longer maturities, as well as a weakening dollar, will also help to revitalize the momentum of digital assets.
Before the new target price was announced, cryptocurrency prices have been flat or declining over the past year. Bitcoin reached a high of $124,000 in October 2025, but then fell to a low of $58,000 in June. In mid-August, as the Treasury Department announced a bond repurchase plan that drove up prices, Bitcoin began to rebound. By September, Bitcoin once again topped $80,000 for the first time in four months and has since traded around that level.
Citi pointed out that the recent reversal in the capital flow of ETF will also drive up the price of Bitcoin. This year, the spot Bitcoin ETF trend has been quite volatile. According to data from the analysis platform SoSoValue, in May and June, a total of nearly $7 billion in capital flowed out of spot Bitcoin ETF. Starting in July, this trend reversed, and in September, the capital inflow into spot Bitcoin ETF exceeded $2 billion.
The Treasury Department's bond repurchase announcement also contributed to a weakening of the US dollar, providing additional support for Bitcoin. Historically, a weaker US dollar tends to make investors more willing to take risks, especially with speculative assets such as cryptocurrencies.
At the same time, the regulatory environment in the United States has also boosted the crypto market. The Clarity Act bill, which was intended to establish broad rules for the crypto market, failed to make progress in the Senate in mid-September. However, Bitcoin has performed more stably than some people expected. Not long after that, the U.S. Securities and Exchange Commission (SEC) stated that it would use its existing authority to regulate the industry during the remaining term of this administration. Citibank said that these measures will help alleviate investors' concerns.
