Citi Group Cuts Bitcoin Price Target to $82K After ETF Outflows Deepen

Highlights:

• Citi lowered its Bitcoin forecast after weakening ETF demand reduced its 12-month price target to $82,000.
• Heavy ETF outflows and slower U.S. crypto legislation pushed Citi to reduce its Bitcoin 12-month price target.
• Citi said weaker institutional demand could keep Bitcoin below its revised price target over the next year.

Wall Street banking giant Citigroup lowered its 12-month Bitcoin price target to $82,000 from $112,000 and reduced its Ethereum target to $2,240 from $3,175. Reuters reported that the bank announced the revised outlook in a research note on Tuesday. The latest revision marks Citi’s second downgrade this year after it previously reduced its Bitcoin target from $143,000 to $112,000 and its Ethereum target from $4,304 to $3,175.

Citigroup cuts its BTC target from $112K to $82K.

Reason: ETF inflow expectations dropped from $10B to $0 after June saw $4B+ in outflows.

ETH target lowered to $2,240.

Bear case:
BTC $53K
ETH $1,094#BTC #ETH #СТ #ETF pic.twitter.com/3CoQg6fECI

— CoinDataFlow (@CoinDataFlow) July 1, 2026

The latest forecast reflects Citi’s weaker outlook for the cryptocurrency market over the next year. The bank expects softer institutional demand to limit price gains for both assets. It also believes the recent market conditions no longer support its earlier projections. The revised targets place Bitcoin about 39% above its recent trading price and Ethereum about 41% above current levels.

Citi issued the downgrade after cryptocurrency markets faced persistent selling pressure during recent months. The bank linked its decision to weaker investor participation, continued ETF withdrawals, and fading confidence across the broader digital asset market.

What Is Driving the Bitcoin Price Target Outlook

Citi said the negative ETF flows remain the biggest reason behind its weaker market outlook. The bank reduced its expected net ETF inflows over the next 12 months to zero from $10 billion. According to Reuters, Citi estimated that Bitcoin ETF flows have already fallen by about $3.3 billion this year. Reuters also reported that Citi believes higher market volatility has reduced institutional demand for Bitcoin and Ether in recent months.

U.S. spot Bitcoin ETFs recorded $4.5 billion in net outflows during June, their largest monthly redemption since their launch. Spot Bitcoin ETFs also sold about $2.41 billion worth of Bitcoin during the last nine trading days, extending the recent selling pressure. Citi said institutional investors may delay new Bitcoin and Ether investments until stronger market or regulatory catalysts emerge.

US spot $BTC ETFs recorded $4.5 billion in net outflows during June, their worst monthly performance since launching in January 2024. pic.twitter.com/XxGzoE13rM

— Blockto (@CryptoBlockto) July 1, 2026

Spot Ethereum ETFs also recorded about $370 million in net outflows during the last nine trading days as investors reduced their exposure. Citi said slower progress on the CLARITY Act has weakened confidence in the U.S. cryptocurrency market.

Prediction markets now estimate about a 39% chance that lawmakers will pass the CLARITY Act this year. TD Cowen said the Senate may not approve the legislation before the November midterm elections because lawmakers still disagree on several provisions.

Citi also said proposed CFTC oversight could affect digital asset treasury companies that hold large cryptocurrency reserves. The bank warned that those companies could become Bitcoin sellers during future market stress.

Bitcoin and Ethereum Stay Under Selling Pressure

Bitcoin is trading at $58,589, a 0.77% drop in the past day. However, the trading volume is up 8.94% to $34.4 billion. The cryptocurrency has lost more than half its value since reaching its all-time high of $126,223 in October this year. Crypto2Community analysts expect Bitcoin to drop further to below the $50,000 price target. Meanwhile, Ethereum is trading near $1,571 after falling to around $1,549, its lowest level since April last year. The trading volume is down 11% to $10.43 billion.