Standard Chartered Remains Bullish on Ethereum, Eyes $40,000 by 2030 Despite Near-Term Adjustments

Despite recent headwinds in the broader cryptocurrency market, Standard Chartered maintains a strong bullish outlook on Ethereum (ETH). While the bank has revised its near-term price targets for the next two years, Geoffrey Kendrick, Head of Global Digital Assets Research at Standard Chartered, firmly believes that 2026 will be “the year of Ethereum,” poised to outperform other cryptocurrencies.

In an investment note accompanying the report, Kendrick highlighted Ethereum’s potential for “significant outperformance” driven by the increasing adoption of blockchain technology and on-chain products. “I believe 2026 will be ‘Ethereum’s year,’ much like the brilliant year of 2021,” he stated.

2030 Price Target Soars to $40,000

Standard Chartered holds a more aggressive view on Ethereum compared to Bitcoin. Influenced by the overall market slowdown, the bank has adjusted its year-end 2026 price target for Ethereum downwards from an initial $12,000 to $7,500. Projections for 2027 and 2028 have also been lowered to $15,000 and $22,000 respectively, falling short of previous expectations.

However, when looking at the long-term trajectory, Standard Chartered’s optimism for Ethereum intensifies. The bank has raised its year-end 2029 forecast to $30,000 and, for the first time, announced a new target of $40,000 by the end of 2030, reflecting profound confidence in its future.

Structural Advantages Fueling Growth

The report acknowledges that Bitcoin’s recent underperformance has indeed weighed on the overall cryptocurrency market. Nevertheless, Geoffrey Kendrick emphasizes that Ethereum is powered by stronger and more diverse engines of growth compared to Bitcoin.

Standard Chartered anticipates that the ETH/BTC exchange rate will gradually rebound towards its 2021 highs (around 0.08). This resurgence is attributed to Ethereum’s unique “moat” – its leading position in stablecoins, Real World Asset (RWA) tokenization, and the decentralized finance (DeFi) sector, alongside continuous network scaling upgrades.

The analysis team points out that despite a general slowdown in cryptocurrency ETF and corporate capital inflows, capital preference for Ethereum remains higher than for Bitcoin. The report specifically highlights Bitmine, the world’s largest Ethereum reserve company, which currently holds 3.4% of circulating Ether and is steadily progressing towards its 5% target, indicating ongoing institutional accumulation.

Robust Fundamental Support

Standard Chartered reiterates its projection that the stablecoin and RWA tokenization market will reach a staggering $2 trillion by 2028, with Ethereum serving as the primary battleground for this financial revolution. Currently, over half of stablecoin and RWA tokenization activities occur on Ethereum, a proportion expected to grow as traditional financial activities increasingly migrate on-chain.

Fundamental data further supports this thesis. Driven by stablecoin activities (accounting for approximately 35% to 40% of total transaction volume), Ethereum’s transaction volumes have repeatedly hit new historical highs in recent weeks.

Standard Chartered underscores that enhancing Layer 1 (mainnet) throughput remains critical for Ethereum’s market capitalization growth. Historical evidence suggests that improvements in network processing capabilities consistently correlate with market cap expansion.

The report concludes by adding that a more favorable regulatory environment could further bolster prospects. It specifically mentions the potential passage of the U.S. “Digital Asset Market Clarity Act” in the first quarter of this year. If the bill succeeds, coupled with the robust performance of U.S. equities, Bitcoin could reach new all-time highs in the first half of the year, providing a solid foundation for Ethereum’s long-term trajectory.