Standard Chartered, an international bank, has made a bold price prediction for Ethereum, the world’s second-largest cryptocurrency. The bank’s analysts believe that Ethereum prices could reach $8,000 by the end of 2026. Geoff Kendrick, the Head of the bank’s digital assets research, stated that as Ethereum becomes more widely used in various industries such as smart contracts, gaming, and tokenization, its price will surge. Kendrick went even further, predicting long-term gains for Ethereum, with a potential valuation estimate of $26,000-$35,000 by 2040. He acknowledged that these valuations assume future use cases and revenue streams that may not have emerged yet, but believes that the real-world use cases of gaming and tokenization should support their development.
Looking at past market cycles, there is a precedent for substantial price gains in Ethereum. Since its launch in 2015, Ethereum has only been through two major market cycles. In January 2018, it reached an all-time high of $1,450, marking a gain of over 14,000% from its price of around $10 in January 2017. After experiencing a bear market low of $85 in December 2018, Ethereum surged to another all-time high of $4,878 in November 2021, representing a gain of over 5,600%. Currently trading around $1,561, Ethereum would only need to gain 700% in the next bull market to reach Standard Chartered’s predicted price of $8,000. Fundamentals such as deflationary issuance, staking, scaling upgrades, and institutional adoption also contribute to the positive outlook for Ethereum in the long term. However, it is important to note that Ethereum’s current market action does not align with this lofty price prediction, as it is currently trading flat and significantly down from its all-time high.
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