There’s a fresh hum in the crypto market, a quiet shift in how some big players view Ethereum. Standard Chartered, a bank known for its careful analysis, just made a bold move. They dramatically raised their price forecasts for the world’s second-largest digital asset. It’s not every day you see such a significant leap from a traditional financial institution.
- Standard Chartered has significantly increased its price targets for Ethereum, projecting it to reach $7,500 by the end of 2024 and $25,000 by the end of 2028.
- This optimism is driven by substantial institutional buying of Ether, with corporate treasuries and spot ETFs acquiring a significant portion of its circulating supply.
- Favorable policy developments, such as the GENIUS Act, and technical upgrades to the Ethereum network are also expected to boost demand and utility for Ether.
This isn’t just a tweak. They now see Ethereum hitting $7,500 by the end of this year. That’s up from a previous $4,000 target. Looking further down the road, their sights are set on $25,000 by the close of 2028. That’s quite a jump from their earlier $7,500 projection for that same year.
Geoffrey Kendrick, who heads up Digital Assets Research at Standard Chartered, has a feeling Ether will even surpass its old all-time high of $4,866 before the third quarter is out. That’s a confident prediction. It suggests a strong belief in the asset’s immediate future.
The Gathering Storm of Demand
So, what’s behind this sudden burst of optimism? It seems big money is indeed moving in. We’re talking about corporate treasuries and spot exchange-traded funds (ETFs) buying up Ether. They’ve collectively scooped up roughly 3.8% of all Ether in circulation since early June.
To put that in perspective, this buying pace is almost double what we observed with Bitcoin from similar institutional buyers during its own rapid accumulation phases. It paints a picture of serious, sustained appetite. You might wonder who these corporate treasuries are.
Standard Chartered estimates that firms like Bitmine Immersion and SharpLink Gaming, for example, acquired about 2.3 million ETH. That’s roughly 1.9% of the total supply in just two and a half months. ETFs contributed the remainder of that 3.8% figure.
This kind of aggressive buying, as Mr. Kendrick points out, naturally tightens the available supply. When there’s less of something to go around, and more people want it, the price tends to climb. It’s a basic economic principle, even in the digital world. Ether has already shown its mettle this year, climbing over 41% year-to-date. Bitcoin, by comparison, is up 29% since January.
Policy Winds and Technical Tides
Another significant piece of this puzzle involves policy. President Trump signed the GENIUS Act in July. This law established a federal framework for stablecoins. Why is this a big deal for Ethereum? Because more than half of all stablecoins currently reside on Ethereum’s blockchain.
Stablecoins, those digital tokens pegged to a stable asset like the U.S. dollar, already generate a lot of activity. They account for about 40% of all blockchain fees. Standard Chartered, echoing the sentiments of U.S. Treasury Secretary Scott Bessent, projects the stablecoin market could swell to $2 trillion by the end of 2028.
Imagine the fee revenue that could flow into the Ethereum network if that projection holds true. It also funnels activity into decentralized finance (DeFi), where about 65% of the total value locked (TVL) sits on Ethereum today. Most U.S. dollar-pegged stablecoins, over $131 billion of the $254 billion market, circulate on Ethereum. It’s a powerful and growing ecosystem.
On the technical front, the Ethereum Foundation and its many contributors are hard at work. They are planning to expand the base layer throughput. This means the network will be able to handle even more transactions.
The design aims to have higher-value transactions settle on Layer 1, which is the main Ethereum blockchain. Meanwhile, high-throughput flows, like many everyday transactions, would migrate to Layer 2s. These Layer 2s, such as Base and Arbitrum, are separate networks that build on top of Ethereum. They process transactions more quickly and cheaply, then settle them back on the main chain.
This layered approach, the bank suggests, strengthens Ethereum’s long-term ability to capture a larger share of real-world financial activity. It’s a strategic move to scale the network. This kind of foundational improvement acts as a strong stimulant for price action.
The Path Ahead
Standard Chartered has been quite vocal about its “ETH treasury thesis” for a while now. They’ve argued in prior commentary that public company balance sheets, institutional spot products, and clear policy can make Ether “very investable” for traditional investors. It’s a view that’s gaining traction.
They even suggested that digital asset treasury firms might be more attractive as investment vehicles than U.S. spot ETH ETFs. This latest upgraded outlook formalizes that view with concrete numbers. It quantifies a demand shock driven by treasuries and ETFs. If this buying continues, it could keep supply tight into year-end.
Beyond this year, the bank’s updated price path for Ether shows $12,000 by late 2026. It then rises to $18,000 for 2027. For both 2028 and 2029, the $25,000 figure holds steady.
For a little perspective, their Bitcoin track remains at $200,000 by the end of 2025. They see it rising to $500,000 by 2028-29. These are certainly ambitious numbers for both leading cryptocurrencies.
This updated forecast from a major bank certainly paints a brighter picture for Ethereum. It highlights how institutional demand, regulatory clarity, and ongoing technical improvements are converging. It suggests a future where Ether plays an even larger role in the global financial landscape.
