Citigroup Lowers Bitcoin, Ether Targets Amid US Crypto Legislation Delays
Citigroup cut its 12-month price forecasts for bitcoin and ethereum on March 17. The bank pointed to delays in U.S. crypto legislation as a key reason.
Analysts said the stalled bill reduces the window for regulatory catalysts. Those catalysts were expected to support ETF-driven demand and institutional adoption.
Revised price forecasts
Citi lowered its baseline and outlined both downside and bull-case scenarios. The revisions affected both bitcoin and ether targets.
| Asset | Prior 12‑month forecast | Revised 12‑month forecast |
|---|---|---|
| Bitcoin | $143,000 | $112,000 |
| Ethereum (Ether) | $4,304 | $3,175 |
Citi also published scenario ranges. Under a recessionary backdrop, bitcoin could fall to $58,000. Ether’s low case could reach $1,198.
In a stronger demand outcome, the bank’s bull case put bitcoin near $165,000. Ether’s bull target was $4,488.
Legislative hurdles and political dynamics
Progress on U.S. market-structure legislation has stalled in the Senate. The Clarity Act’s passage now looks less likely because of disputes over stablecoin rules.
Lawmakers face a shrinking window for approval in 2026. Support from at least seven Senate Democrats is needed for passage.
Some Democratic senators want language barring elected officials from profiting from crypto ventures. That push gained attention after scrutiny of the World Liberty Financial project linked to the Trump family.
Other legislators are calling for tighter anti‑money laundering provisions. If Democrats gain seats in November, chances of a bipartisan bill could decline further.
Market reaction and risks
As of 0750 GMT on Tuesday, bitcoin traded near $74,298. Ether traded around $2,345. Both hovered well below Citi’s prior forecasts.
Citi strategist Alex Saunders warned that regulatory catalysts drive adoption and flows. He added the opportunity window for U.S. legislation is narrowing.
The bank noted ether will be sensitive to user activity metrics. However, trends in stablecoins and tokenization might lift usage and interest.
Overall, Citigroup lowers bitcoin and ether targets amid US crypto legislation delays, weighing on near‑term institutional demand.
Reporting from Bengaluru. Filmogaz.com
