According to a recent report by CNBC, British banking giant Standard Chartered is optimistic about Bitcoin’s future, suggesting that the cryptocurrency’s price could skyrocket to $250,000 next year.
If inflows into the newly introduced Bitcoin exchange-traded funds remain strong, Standard Chartered believes that reaching the ultra-bullish price target of $250,000 for Bitcoin is possible. The bank’s mid-point estimate for these inflows is $75 billion.
Bitcoin ETF Demand Drives Price Surge
The recent surge in Bitcoin’s price to an all-time high of $73,737 has been attributed to exceptionally strong demand for Bitcoin exchange-traded funds (ETFs). Renowned ETF analyst Eric Balchunas noted that ETFs offered by BlackRock and Fidelity have emerged among the top five ETFs by yearly inflows, fueling the bullish narrative around Bitcoin.
Potential for Ethereum ETF Approval
Standard Chartered Bank also considers the possibility of a spot-based Ethereum ETF gaining approval later this spring. If such a product receives the green light from the U.S. Securities and Exchange Commission (SEC), Ethereum, the largest alternative cryptocurrency, could see its price nearly double by the end of the year.
Ethereum Trades Below $3,500 Amid Market Correction
According to CoinGecko data, Ethereum is currently trading slightly below the $3,500 level, reflecting a 3.7% decline over the past 24 hours. This correction comes after Ethereum surged above the $4,000 mark earlier in March, surpassing predictions made by Standard Chartered Bank back in January.
Standard Chartered Bank had previously anticipated Ethereum reclaiming the $4,000 level if the U.S. Securities and Exchange Commission (SEC) approved a spot ETF for the cryptocurrency. However, despite Ethereum’s price surpassing this level, the likelihood of an Ethereum ETF approval this year remains slim.
The SEC faces increased political pressure not to approve ETFs for cryptocurrencies other than Bitcoin. As a result, the chances of an Ethereum ETF being approved in the near future are low, according to the bank’s assessment. Nonetheless, Standard Chartered remains bullish on Ethereum’s long-term potential, forecasting a price target of $14,000 for the cryptocurrency next year.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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