The financial institution Standard Chartered Bank has notably decreased its prediction for the cost of Ethereum (ETH).
The banking behemoth has reduced its price objective for Ethereum in 2025 from $10,000 to just $4,000. This modification occurs as Ethereum struggles with volatility, mostly as a result of the growing acceptance of Layer-2 solutions such as Coinbase’s Base.
While imposing levies for Layer-2 transactions might possibly reverse this negative trend, the possibility of such an action being implemented is still remote.
According to CoinGecko, the altcoin is presently trading at $1,911. Despite a nearly 5% decrease in the previous week, the revised aim of $4,000 still implies a possible doubling of the cryptocurrency’s value this year.
Standard Chartered remains pessimistic on the ETH/BTC trading pair. They anticipate that Ethereum will continue to perform worse than Bitcoin Profitability Stress Reaches Levels Last Seen in September 2024, potentially reaching its lowest point since 2017.
On a more positive side, Standard Chartered predicts that Bitcoin may reach $200,000 as early as this year, with a long-term goal of $500,000.
