Citigroup cuts 12-month BTC price target to $112K

Major U.S. bank Citigroup has lowered its 12-month price target for Bitcoin from $143,000 to $112,000. The bank also revised its target for Ethereum (ETH) down from $4,304 to $3,175. According to CoinDesk, a recent Citigroup report cited delays in U.S. legislation, slowing network activity, and diminished expectations for ETF inflows as reasons for the downgrade. The report noted that the likelihood of a U.S. crypto regulation bill passing this year is decreasing and that overall market momentum has weakened since Bitcoin's peak last October. Citigroup said it revised its forecast due to futures liquidations, position fatigue, technical weakness, and reduced ETF buying power. However, the report outlined a bullish scenario where BTC could reach $165,000 and ETH could hit $4,488. In a bearish scenario driven by a recession, BTC could fall to $58,000 and ETH to $1,198. According to CoinMarketCap, BTC is currently trading at $73,705.09, down 0.12%, while ETH is at $2,314.96, up 1.52%.