The analysis team at Standard Chartered Bank stated on Wednesday that benefitting from strong corporate buying, the powerful attraction of ETFs, and the establishment of US stablecoin regulations, 'the market environment for Ethereum has significantly improved', prompting an increase in Ethereum price forecasts, with the year-end target price raised from $4,000 to $7,500.
Standard Chartered's latest estimate predicts that by the end of this year, the price of Ethereum will reach $7,500, up from the previous estimate of $4,000; by the end of 2028, it could reach $25,000, up from the previous $7,500.
Institutions and ETFs are sweeping up
Geoffrey Kendrick, head of digital asset research at Standard Chartered, pointed out in the report that since early June, corporate buying and Ethereum spot ETFs have collectively absorbed 3.8% of the globally circulating Ethereum, nearly twice the speed of Bitcoin during its historical peak.
Among them, Ethereum reserve companies like BitMine Immersion and SharpLink Gaming have accumulated 2.3 million Ethereum (about 1.9% of total supply) in just two and a half months, while ETF buying has accounted for the remaining share.
So far this year, Ethereum has risen more than 41%, significantly outpacing Bitcoin's 29%.
Geoffrey Kendrick further predicts that by the end of the third quarter of this year, Ethereum is expected to break through the historical high of $4,878 set in 2021.
Policy Dividend — Stablecoin Regulation Implementation
US President Donald Trump signed the (GENIUS Act) this July, establishing a federal-level stablecoin regulatory framework for the first time. As over half of the global stablecoins operate on Ethereum, and stablecoin transactions account for 40% of total chain transaction fees, Standard Chartered believes this move will directly channel flow into the Ethereum ecosystem.
Both Standard Chartered and US Treasury Secretary Scott Bessent predict that by the end of 2028, the stablecoin market size will reach $2 trillion, which will not only boost Ethereum's on-chain transaction fee income but also drive a surge in decentralized finance (DeFi) activities.
According to statistics, currently 65% of the total value locked (TVL) in DeFi is concentrated in Ethereum; in addition, the total circulation of US dollar stablecoins on Ethereum has reached $131 billion, accounting for more than half of the total market value of stablecoins of $254 billion.
Positive technical factors
The Standard Chartered report also pointed out that the Ethereum Foundation and ecosystem developers have recently increased their activity, including actively promoting layer 1 scaling, to gradually implement the design philosophy of 'high-value transactions remain settled on Layer 1, while high-throughput transactions are directed towards Base, Arbitrum, and other Layer 2s'.
Standard Chartered believes this structure will help Ethereum gain a greater advantage in future financial application scenarios, injecting long-term positive factors into the price trend.
According to Standard Chartered's latest forecast path, Ethereum is expected to rise to $12,000 by the end of 2026; up to $18,000 in 2027; and maintain at $25,000 between 2028 and 2029.
On the other hand, Standard Chartered's target price for Bitcoin remains unchanged — rising to $200,000 by the end of 2025; and reaching $500,000 between 2028 and 2029.
This article is reprinted with permission from: (Block Geek)
Original title: ('Ethereum year-end target price' raised to $7,500! Standard Chartered: Strong demand from corporate and ETF buying)
Original author: Block Sister MEL
'Ethereum's target price for 2025 is $7,500! Standard Chartered: Strong corporate and ETF buying, positive technical factors' this article was first published in 'Crypto City'