Citi Projects Bitcoin Price of $135K by Year-End in Updated Forecast

Citi has updated its crypto valuation models, projecting a year-end price for bitcoin at $135,000. Key points include:

Optimistic scenario predicts bitcoin could reach $199,000.
Pessimistic outlook sees a drop to $64,000 due to weak equities.
Forecast factors in user adoption, macroeconomic conditions, and ETF demand.
User growth projected to increase by 20%, influencing a baseline price of $75,000.
Macroeconomic factors reduce the forecast by $3,200.
Estimated $15 billion in ETF flows adds approximately $63,000 to the price target.
ETF inflows contribute over 40% to recent BTC price variations.
Growing institutional flows and regulatory acceptance are crucial for future price movement.
Risks to the forecast lean towards positive, with accelerating ETF demand and sustained user activity.