Upgraded Outlook for 2025
Standard Chartered has sharply raised its year-end price forecast for ether, the world’s second-largest cryptocurrency, from $4,000 to $7,500, citing stronger industry engagement and a surge in holdings over recent months.
The new target implies a potential 60% upside from Wednesday’s multi-year high of about $4,700, recorded in the wake of renewed investor demand.
Ether’s Dual Appeal
While bitcoin remains the dominant cryptocurrency for pure price appreciation, ether offers additional income-generating opportunities through staking—a process where holders lock up tokens to help secure the Ethereum network and earn rewards in return.
Ether prices have surged more than 50% over the past four weeks, buoyed by the recent passage of the Genius Act, which establishes a regulatory framework for dollar-pegged cryptocurrencies known as stablecoins. The legislation has lifted sentiment across the digital asset market, with traders betting on broader acceptance of crypto in mainstream finance.
Stablecoin Growth as a Catalyst
“We project that the stablecoin sector will grow by around eight times by end-2028, which would have a significant direct impact on fees on the Ethereum network,” said Geoff Kendrick, Standard Chartered’s head of digital assets research.
Because most stablecoins are issued and transacted on the Ethereum blockchain, increased usage directly boosts demand for ether, which is required to pay network transaction fees.
Longer-Term Ambitions: $25,000 by 2028
Looking beyond this year, the bank now forecasts ether to reach $25,000 by the end of 2028, up from a previous projection of $7,500. The bullish outlook hinges on Ethereum’s ability to use its Layer 1 blockchain for high-value transactions, particularly those tied to traditional finance.
Kendrick added that scaling Layer 1’s capacity will be crucial to achieving this, alongside potential growth in Ethereum treasury holdings—with companies possibly controlling up to 10% of all ether in circulation in the future.
Market Implications
If realised, Standard Chartered’s projections could position ether as one of the fastest-growing large-cap assets in global markets over the next three years. The combination of regulatory clarity, stablecoin adoption, and expanding institutional involvement may prove to be the catalysts that push Ethereum into a new phase of maturity—and price discovery.