Bitcoin Rises as Citigroup Hikes BTC Target Price by 38%

The SEC proposed a rule allowing investment advisers to hold Bitcoin and other cryptocurrencies for clients, potentially directing significant funds into the market. The rule updates the Investment Advisers Act and Investment Company Act, enabling state trust companies and broker-dealers to act as custodians. Advisers could hold private keys under strict conditions, but custodians will likely decide which cryptocurrencies are accessible.

Bitcoin posted its best quarter since 2024, rising 43% to $83,621, driven by $6.34 billion in US spot ETF inflows. Despite this, it remains 33.7% below its all-time high. Analysts note mixed signals, with support near $80,000 and resistance at $87,000–$88,000. Citi raised its 12-month target to $113,000, citing ETF demand and macroeconomic factors.

U.S. spot bitcoin ETFs saw $6.34 billion in net inflows in Q3 2026, the strongest quarter of the year, reversing $5 billion in Q2 outflows. Bitcoin gained 42.71% over the period. September inflows were $2.65 billion, but the quarter ended with $148.7 million in outflows on September 30, ending a nine-day inflow streak. Fidelity's FBTC led outflows, followed by Bitwise's BITB and BlackRock's IBIT.

US spot Bitcoin ETFs saw $6.34B net inflows in Q3 2026, the best quarter of the year, reversing prior outflows. Bitcoin's price rose 42.71% during the quarter, according to CoinGlass. Ether and other altcoin ETFs also saw significant inflows, with Ether outperforming Bitcoin. Demand showed volatility, ending the quarter with outflows.

Citigroup raised its 12-month price targets for Bitcoin to $113,000 and Ethereum to $3,028, citing expected crypto inflows and institutional demand recovery. The bank forecasts $5 billion in crypto inflows over the next year, supported by ETF demand and improving financial conditions. Bitcoin and Ethereum have seen significant rallies, reducing their year-to-date losses.

Citigroup raised its 12-month price target for bitcoin to $113,000 from $82,000, citing ETF inflows and supportive economic conditions. Ether's target was also increased to $3,028 from $2,240. The bank forecasts $5 billion in inflows into crypto investment products over the next year. Bitcoin and ether have gained 40% and 68% over three months, respectively, cutting their yearly losses. The Senate's rejection of the Clarity Act and Treasury bond buybacks have also influenced market sentiment.