Analysts at Standard Chartered have revised their year-end 2024 target for Bitcoin upwards from $100,000 to $150,000, with Ethereum potentially reaching $8,000 by the same time. This is according to a report cited by CoinDesk.
The upgrade follows the excitement surrounding spot Bitcoin ETFs and the sharp rise in the asset’s price since January.
By the end of 2025, the first and second cryptocurrencies could rise to $200,000 and $14,000, respectively, according to the document.
Experts justified their expectations by drawing parallels with gold’s performance following ETF approval and optimizing the ratio of the precious metal to its digital counterpart at 80%/20%.
“We believe that [such] an analogy remains a good starting point for calculating the ‘correct’ Bitcoin rate in the medium term. […] Assuming the value of the precious metal remains unchanged, the first cryptocurrency’s quotes should reach $190,000,” the review states.
According to experts, if ETF inflows grow to $75 billion, digital gold could rise to $250,000. Sovereign wealth funds’ actions could also accelerate growth.
“We see a growing likelihood that major reserve managers may announce Bitcoin purchases in 2024,” the analysts noted.
The community has taken note of the potential for Qatar’s sovereign fund, which manages $500 billion, to acquire digital gold. This possibility was mentioned by SkyBridge Capital founder Anthony Scaramucci, citing El Salvador’s presidential advisor Max Keiser.
Max is saying Qatar may have added #Bitcoin to their balance sheet. If true all we can say is thank you Max Keiser! https://t.co/3f2Tnn0avs
— Anthony Scaramucci (@Scaramucci) March 3, 2024
Positive expectations for Ethereum are linked by analysts to the anticipated approval of a spot exchange-traded fund based on the second-largest cryptocurrency by market capitalization on May 23. According to their calculations, the total inflow into the product over the next 12 months could reach $45 billion.
“In 2025, we see the ETH to BTC ratio returning to the 7% level that prevailed for most of 2021–22. Given our assumed BTC price level of $200,000 at the end of 2025, this would imply an Ethereum rate of $14,000,” the specialists calculated.
Pantera Capital has indicated the possibility of Bitcoin rising to $147,000 in 2025.
In February, Bitwise’s Chief Investment Officer Matt Hougan predicted that the price of digital gold could exceed $80,000 in the foreseeable future due to ETF success.