Key Takeaways
- Citigroup CEO Jane Fraser said a strong version of the CLARITY Act would be “excellent for the system,” despite unresolved concerns for banks.
- Citi recently cut its 12-month Bitcoin target to $82,000 after weak ETF demand and delayed legislation.
- Bitcoin bulls still see a price path to $1 million.
Citigroup CEO Jane Fraser has thrown her support behind the US Clarity Act, even as the bank she leads has become more cautious on Bitcoin’s near-term prospects.
Speaking to Fox Business, Fraser said Citi was still pushing for changes to the CLARITY Act but wanted to see a robust bill cross the finish line.
Her comments come after Citi previously treated progress on US digital-asset rules as a potential catalyst for institutional adoption.
With that progress stalling, the bank cut its 12-month Bitcoin target to $82,000 in July.
Could passage revive the bull case — and even help Bitcoin’s price reach $1 million?
Citi CEO Says CLARITY Act Would Be ‘Excellent for the System’
In an Aug. 13 interview with Fox Business, Fraser said the bank wanted regulation that supports innovation.
The Citi CEO warned that rewards paid on stablecoin balances could draw deposits away from smaller banks, potentially reducing their ability to lend in rural communities.
She also called for a level playing field in which the same financial activity is governed by the same rules, regardless of whether a bank or a crypto company offers it.
“We’re not giving up on pushing to get some improvements made to the bill,” Fraser said.
“But we would like to see a good bill go through. I think it would be excellent for the system.”
Citi Cut Its Bitcoin Price Target
Fraser’s constructive tone contrasts with Citi’s recent caution on crypto prices.
On July 1, the bank lowered its 12-month Bitcoin target to $82,000 from $112,000. It also cut its Ethereum target from $ 3,175 to $ 2,240.
Citi reduced its assumption for net crypto ETF inflows over the next 12 months to zero, abandoning an earlier forecast that regulatory progress would attract fresh institutional capital.
The change followed record monthly outflows of roughly $4 billion from US spot Bitcoin ETFs in June.
Citi also cited weak investor demand, delayed US legislation, and concerns that digital-asset treasury companies could become net sellers of Bitcoin.
The bank’s revised bull case puts Bitcoin at $108,000, while its bear case sees BTC falling to $53,000.
Some Analysts Remain Extremely Bullish on Bitcoin Price
Long-term Bitcoin forecasts remain far more bullish than Citi’s near-term outlook.
In a recent 24/7 Wall St. analysis, analyst Sam Daodu argued that Bitcoin’s historical performance leaves a seven-figure price within reach over the next decade.
“The Bitcoin price traded around $600 in the middle of 2016, so over the past ten years BTC has compounded at roughly 60% a year,” Daodu wrote.
If anything close to the previous pace were to return, Bitcoin could reach $1 million before the next decade ends.
However, the shorter record is much less convincing.
“It was near $46,000 in August 2021, which means the last five years have delivered about 7% a year,” Daodu added.
From around $63,000, Bitcoin would need to rise almost sixteenfold to reach $1 million.
Over ten years, that works out to an annualized growth of roughly 32%.
Reaching the target by 2030 would require a much steeper pace of nearly 90% per year.
Nansen CEO Joins Bitcoin’s $1 Million Price Bulls
Nansen co-founder and CEO Alex Svanevik recently said Bitcoin could reach $1 million by 2030, comparing the forecast with how implausible a $100,000 target sounded in 2018.
Svanevik also argued that Bitcoin may never trade below $60,000 again, an especially aggressive call given that BTC has recently traded only slightly above that level.
He is not alone in expecting a seven-figure price.
ARK Invest’s 2030 model has assigned Bitcoin a bull case of about $1.5 million, with a base case near $710,000 and a bear case of $300,000.
Block co-founder Jack Dorsey has said BTC could exceed $1 million by 2030, and Strategy Executive Chairman Michael Saylor has repeatedly backed a seven-figure destination.
The CLARITY Act could support that thesis by providing financial firms with clearer rules for issuing, trading, and holding digital assets.
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
