Citi Pledges Support for Circle's Stablecoin Story Despite Regulatory Delays

Citi has reaffirmed its commitment to Circle, a leading stablecoin issuer, and its AI-driven stablecoin story. Despite Circle's recent decline in stock price, Citi maintains its buy rating and $243 price target, indicating significant upside potential.

The bank's optimism is driven by Circle's strong position in the regulated sector, with USDC boasting a market cap of $75.61 billion and native integration across 29 blockchains.

Citi also lowered its 12-month price targets for Bitcoin and Ethereum due to delays in US crypto regulation, citing volatility and regulatory hurdles as challenges to the growth outlook.