Citigroup Lowers Bitcoin and Ethereum Price Forecasts Amid Clarity Act Delays

Citigroup, one of the world's largest financial institutions, has revised its 12-month price forecasts for Bitcoin and Ethereum in light of delays in the adoption of the CLARITY Act.

The bank's updated forecasts see BTC reaching $112,000 instead of the previously expected $143,000, while ETH is now predicted to reach $3,175 instead of $4,304. This downward revision comes as Bitcoin remains stuck below the $90,000 level and is likely to consolidate around key support levels.

Citigroup notes that regulatory clarity will play a crucial role in determining the short-term price movement of leading cryptocurrencies, with the bank emphasizing that legislative developments surrounding the CLARITY Act will heavily influence future market dynamics. The overall outlook remains moderately optimistic, but Citigroup's forecasts highlight the importance of keeping an eye on regulatory initiatives.