Citi raises bitcoin, ether forecasts on strong crypto activity

Oct 1 (Reuters) - Citigroup ‌raised its ​12-month ​forecasts for bitcoin and ether, citing stronger crypto activity, a supportive macroeconomic backdrop ‌and a resumption of ETF inflows.

The brokerage ⁠increased its target for bitcoin to $113,000 from $82,000 and for ether ‌to $3,028 from $2,240.

• Citi said ‌in a note dated Wednesday that it expects crypto inflows to resume at a slower ​but steadier pace as advisers and brokerages gradually increase allocations to bitcoin

• The brokerage ⁠also forecast $5 billion of inflows over the next 12 months

• The ​US Senate last week failed to advance The Clarity Act, aimed at creating a ​regulatory framework for digital assets, ‌in a setback for the broader industry

• "The Clarity Act's failure narrowed the ⁠path to a market-structure bill, yet spurred Securities and Exchange Commission (SEC) rule announcements that dampened negative sentiment," ⁠Citi said

• Bitcoin and ether have rallied nearly 40% and ​68%, respectively, in the past 3 months, narrowing their year-to-date losses to about 4% and 9%

• After months of ‌lagging broader risk assets, bitcoin has risen 40% since its July lows ‌as a soft dollar, following the US Treasury's ⁠recent move to ‌buy back longer-dated ​bonds, revived momentum across crypto markets

(Reporting by Kanishka Ajmera in Bengaluru; Editing by Sherry ‌Jacob-Phillips)

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Google: Introducing Gemini 4 Argon
• Rocket Lab signs 20-launch Electron deal with Synspective
• Wave Life Sciences gets FDA backing for WVE-006 registrational trial