With all the volatility in the space right now, big financial players in the U.S. are updating their forecasts for top digital coins. One such player, Standard Chartered, a global banking titan, has recently lifted its price forecasts for Bitcoin and Ethereum, reflecting the dynamic nature of the crypto world.
Let’s take a deeper look into the details here.
Standard Chartered’s Optimistic View
According to Standard Chartered’s latest projections, Bitcoin’s price is expected to hit $150,000 by the end of this year and a whopping $250,000 by 2025. This positive update comes right after Bitcoin broke its previous all-time high, reaching over $73,000 last week.
The reason behind the bank’s revised forecasts is quite interesting. Analysts at Standard Chartered have compared Bitcoin exchange-traded funds (ETFs) to their gold counterparts, noting the significant influx of funds into the market through these ETFs and portfolio adjustments.
Geoff Kendrick, Standard Chartered’s digital assets head, emphasizes the importance of these comparisons in understanding where Bitcoin’s price might go.
Ethereum Price Outlook
While Standard Chartered has raised its Bitcoin forecast, it’s keeping its year-end target for Ethereum unchanged. The bank predicts Ethereum could hit $8,000 in 2024, but this depends on whether the U.S. Securities and Exchange Commission (SEC) approves spot Ether ETFs.
With Ethereum currently trading at $3,568, its potential for growth looks promising, especially with some upcoming improvements.
Upcoming Boosts
The excitement around Ethereum’s future is fueled by recent events, like the Ethereum Dencon upgrade in March 2024 and the possible approval of a spot Ethereum ETF by the SEC. These developments could lead to significant investment flowing into Ethereum, similar to what we’ve seen with Bitcoin ETFs, which is expected to reach $15-45 billion in the first 12 months post-approval.
Looking Ahead to 2025
Standard Chartered predicts a resurgence in the ETH-to-BTC price ratio, aiming for a $14,000 ETH price by 2025. Standard Chartered’s forecast highlights its confidence in Ethereum’s long-term growth prospects supported by developments in its ecosystem and the potential capability of the coin.
However, not everyone shares this bullish outlook. Richard Teng, the new CEO of Binance, predicts Bitcoin will hit $80,000 by year-end, falling short of Standard Chartered’s projections. Teng believes supply dynamics and sustained demand will drive growth, but perhaps not to the extent forecasted by others.
Seizing the Opportunity
With major players like Standard Chartered adjusting their predictions, investors have a prime opportunity to capitalize on the potential of cryptocurrencies. The rise of Bitcoin ETFs and regulatory progress in the crypto world indicate a thriving market, attracting both traditional and crypto-savvy investors.
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