Standard Chartered Identifies ETF Contenders for 2025

A new phase for exchange-traded funds is likely to commence in 2025, with SOL and XRP next in line. This was stated by Jeffrey Kendrick, head of research at Standard Chartered, in an interview with The Block.

“For other coins like SOL and XRP, markets will also eagerly await their ETF, although this is more likely a 2025 story rather than 2024,” he clarified.

The approval of spot Ethereum funds suggests that the SEC does not classify the second-largest cryptocurrency by market cap as a security, Kendrick noted. The analyst believes this opens the door for coins similar to ETH to enter the traditional sector:

“In some cases, the core technology [of other blockchains] is so similar to Ethereum that it will be difficult for the regulator to label them as securities. The crypto industry now seems to have political support on both sides.”

He described the support for digital assets in the U.S. as a “real turning point.” In his view, the next question is not whether the market will see further regulatory changes, but when this will happen.

Short-term Prospects

While the industry awaits new instruments, Kendrick predicted an increase in the dominance of Bitcoin and Ethereum. The “next in line [for ETF]” coins will also surge ahead.

The analyst still anticipates a strong inflow into spot Bitcoin funds and, consequently, reaching the target price of $150,000 by year-end.

“A portfolio containing Bitcoin and Ethereum ETFs is likely attractive, and the SEC’s decision further confirmed this idea,” Kendrick noted.

The expert expects trading of ETH-based exchange-traded funds to begin as early as next month. He estimates that these products could bring in between $15 billion and $45 billion.

He also reaffirmed his forecast for Ethereum to reach $8,000 by the end of 2024.

Following the approval of ETH-ETF, the underlying asset fell to $3,700. Analysts suggested that the market had already priced in the SEC’s decision.

Earlier, Bernstein predicted an increase in Ethereum’s price to $6,600 following the approval of exchange-traded funds.

Matrixport co-founder Daniel Yan suggested that Solana could be the next contender for launching such an instrument.