Ethereum News Today: Standard Chartered Lifts Ethereum 2024 Target to $7,500 on Stronger Demand and Stablecoin Growth

Standard Chartered has raised its year-end 2024 price target for Ethereum to $7,500, a significant increase from its previous $4,000 estimate [1]. The bank’s head of digital assets research, Geoff Kendrick, attributed the upward revision to stronger investor interest and increased stablecoin activity on the Ethereum network. The new target is nearly 60% higher than Ether’s recent peak of $4,700 and reflects a broader trend of growing institutional participation and adoption.

Ethereum’s price has surged by more than 50% in the last month, driven in part by the approval of the U.S. Stablecoin Act, which established a regulatory framework for dollar-backed stablecoins [1]. The move has been welcomed by market participants, who believe it will lead to broader use of digital assets and enhance Ethereum’s role in the evolving financial landscape. Unlike Bitcoin, Ethereum offers a staking mechanism that allows holders to earn rewards by locking up their tokens, providing an additional layer of appeal amid a market seeking yield.

The bank also raised its long-term forecast for Ethereum, projecting a price of $25,000 by 2028 [1]. This revised outlook is based on the expectation that the stablecoin market could expand eightfold by the end of the decade, increasing demand for Ether through higher transaction fees. Kendrick also highlighted the potential for Ethereum to become a key platform for high-value transactions, particularly those tied to traditional finance, if Layer 1 capacity is expanded.

Other market observers have also shared bullish views. Arthur Hayes, former CEO of Bitmex, has previously predicted that Ethereum could reach $10,000 by the end of 2025 [1]. As of the latest data, Ethereum was trading at $4,724, having risen 2.2% in the past 24 hours. The digital asset has pushed its market capitalization to $523 billion, surpassing that of Mastercard [1].

According to Standard Chartered, another key factor supporting Ethereum’s price could be the potential for Ethereum treasury companies to hold up to 10% of the total supply of Ether [1]. Such a scenario could reduce market supply and create additional upward pressure on the price. However, the bank cautioned that the coming months will be crucial in determining whether the market can sustain the bullish momentum and meet these optimistic forecasts.

[1] title: Ethereum Eyes New Heights with $7,500 Year-End Prediction from Standard Chartered as ETH Revisits $4,800 ATH

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