Standard Chartered Predicts Bitcoin to Reach $200,000 by 2025 on Institutional Demand

Standard Chartered has reaffirmed its prediction that Bitcoin could reach $200,000 by the end of 2025. The bank attributes this bullish outlook to several key factors, including the accelerating inflows into Bitcoin exchange-traded funds (ETFs) and increased demand from corporate treasuries. According to the bank's analysts, these trends are expected to continue, providing structural price support for Bitcoin and making it an attractive investment opportunity.

The bank's forecast is underpinned by the growing institutional interest in Bitcoin. Analysts at Standard Chartered point to the increasing adoption of Bitcoin by corporations as a store of value and a hedge against inflation. This trend is anticipated to persist as more companies recognize the advantages of holding Bitcoin in their treasuries. Additionally, the launch of Bitcoin ETFs has made it easier for investors to gain exposure to the cryptocurrency in a more accessible and regulated manner, further driving demand.

Geoff Kendrick, head of digital assets research at Standard Chartered, noted that historical price trends may no longer apply. He highlighted that the typical post-halving drop, which usually occurs around 18 months after the event, may not materialize this cycle. Instead, sustained institutional demand could provide structural price support. Kendrick emphasized, “The bitcoin halving cycle is dead.”

Beyond ETF inflows and corporate treasury accumulation, several macroeconomic factors could boost Bitcoin’s growth. One significant factor is the possibility of U.S. Fed Chair Jerome Powell stepping down earlier than expected, which could sway market sentiment and alter risk appetites. Additionally, progress on stablecoin legislation in the U.S. brings a wave of optimism. Clearer regulations could attract more institutional investors, helping to clear up some of the legal uncertainties surrounding crypto assets. Kendrick is optimistic that these changes could act as strong tailwinds for Bitcoin’s upward journey.

The report also underscores the growing belief that Bitcoin is evolving into a mainstream investment asset. As institutional infrastructure strengthens, the likelihood of extreme volatility from retail-driven cycles may fade. This shift towards institutional involvement is expected to provide a more stable and predictable environment for Bitcoin's price movements.

In parallel, Deutsche Bank is taking firm steps to enter the crypto space. The bank plans to launch its crypto custody service by 2026, allowing clients to hold digital assets alongside fiat currencies within its platform. Deutsche Bank will partner with Bitpanda Technology Solutions and Swiss-based Taurus, marking a serious commitment to offer integrated digital asset services. These collaborations indicate the bank's ambition to provide trusted crypto services to institutions globally.

For context, Deutsche Bank has explored crypto custody since 2020. A 2023 application to Germany’s regulator confirmed its ambitions. Now, with strong partnerships and clear direction, the bank aims to offer trusted crypto services to institutions globally. This move by Deutsche Bank further underscores the growing institutional interest in the cryptocurrency market and the potential for significant growth in the coming years.