The year-end prediction for the price of bitcoin (BTC) was increased by Standard Chartered (STAN) from $100,000 to $150,000.
In an e-mailed investment statement on Monday, the bank also anticipated that Bitcoin will peak around $250,000 for the cycle next year and then settle around $200,000.
The price of gold following the introduction of gold exchange-traded funds (ETFs) in the United States and the relationship between ETF inflows and the price of bitcoin served as the foundation for Standard Chartered’s investigation. In January, spot bitcoin ETFs began trading in the United States.
“We think the gold analogy – in terms of both ETF impact and the optimal portfolio mix – remains a good starting point for estimating the ‘correct’ BTC price level medium-term,” the note stated.
“If ETF inflows reach our mid-point estimate of $75billlion, and/or if reserve managers buy BTC, we see a good chance of an overshoot to the $250,000 level at some stage in 2025” .
Additionally, according to Standard Chartered, the Securities and Exchange Commission may approve an ether (ETH) exchange-traded fund (ETF) on May 23. This may result in ETH reaching approximately $8,000 by the end of 2024 and inflows of up to $45 billion in the first year. It was trading for about $3,570 at the moment.
Standard Chartered stated in a separate statement that “we see the ETH-to-BTC price ratio rising back to the 7% level that prevailed for much of 2021–22” in 2025. “Given our estimated BTC price level of USD 200,000 at end-2025, that would imply an ETH price of $14,000.”