Citigroup lifts ether outlook, trims bitcoin view on shifting investor flows

BENGALURU 2025-10-02 Citigroup has raised its year-end outlook for ether to $4,500, up from $4,300, driven by growing investor interest through exchange-traded funds (ETFs) and digital-asset treasury allocations. The bank highlighted that institutional flows into ETH are strengthening, reflecting a gradual shift in focus toward the cryptocurrency. This updated projection underscores ether’s rising appeal among investors seeking diversified digital-asset exposure.

At the same time, Citigroup slightly reduced its bitcoin forecast to $133,000 from $135,000, citing balancing macroeconomic factors. A stronger U.S. dollar and weaker gold prices are expected to weigh on BTC performance. Overall, the adjustments indicate evolving market dynamics, with ETH gaining more attention while bitcoin faces headwinds from broader economic conditions.Reuters

What the Citigroup ether price target change signals

Citigroup’s upgrade suggests the bank sees relative support for ether into year-end, driven by fund inflows and treasury allocations. The tweak comes roughly two weeks after Citi highlighted $4,300 as its ETH base case, indicating new data on flows likely influenced the revision. By contrast, the marginal downgrade to bitcoin underscores macro sensitivity, particularly to the dollar and non-yielding assets such as gold.

Flow dynamics and near-term drivers

Spot ether ETFs have drawn sustained interest in recent weeks, while bitcoin flows have been more mixed amid shifting rate expectations and currency strength. External analyses throughout late summer also pointed to meaningful ETH fund activity, even as weekly flows fluctuated. These context points are consistent with Citi’s emphasis on investor flow patterns behind today’s update.

Drivers behind the Citigroup ether price target

• ETF demand
  Net inflows and portfolio adoption support ETH levels.

• Treasury allocations
  Corporate and fund treasuries are building digital-asset exposures.

• Macro headwinds for BTC
  A stronger dollar and softer gold prices weigh on bitcoin’s risk-on profile.

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Context & Analysis

Citi’s modest ETH uplift versus a small BTC trim reflects relative-value positioning rather than a broad risk-on stance. The dollar’s strength can compress liquidity in risk assets, while gold’s softness reduces a traditional “anti-fiat” bid both factors that can weigh more on BTC than on ETH if ETH’s idiosyncratic flows (ETF/treasuries) stay resilient. Two weeks ago, Citi flagged $4,300 for ether; today’s nudging to $4,500 implies updated flow evidence. Investors should still treat single-firm targets as inputs, not endpoints.

Conclusion

Citigroup’s updated projections show a slight tilt toward ether as the year-end approaches, supported by strong institutional flows. Investor interest via exchange-traded funds (ETFs) and digital-asset treasury allocations is helping ETH gain traction, highlighting its growing appeal in the crypto market.

Meanwhile, bitcoin’s outlook remains solid but is constrained by broader macroeconomic factors. A stronger U.S. dollar and other market dynamics could limit BTC’s upside. Investors will be closely monitoring whether ETF-driven momentum for ether continues and how persistent dollar strength influences bitcoin performance in the coming months.

FAQs

Q : What exactly did Citi change today?

A : Citi raised ether’s year-end target to $4,500 (from $4,300) and trimmed bitcoin to $133,000 (from $135,000).

Q : Why was bitcoin’s forecast lowered?

A : Citi cited offsetting macro factors, including a stronger U.S. dollar and weaker gold prices.

Q : What supports the new ether view?

A : Stronger flows from ETFs and digital-asset treasuries, according to Citi.

Q : Did Citi previously forecast $4,300 for ether?

A : Yes. In mid-September, Citi discussed a $4,300 ETH year-end target before today’s update.

Q : How does this compare with other banks?

A : Recent third-party coverage has highlighted robust ETH fund activity and varying targets across banks, showing no single consensus.

Q : Does the Citigroup ether price target guarantee future prices?

A : No. Price targets are opinions based on assumptions and can change with market conditions.

Q : Where can I track ETF flows myself?

A : Check official issuer pages and reputable financial media that aggregate daily flow data.