Standard Chartered Predicts Up To $45 Billion Inflows To Ethereum ETFs Within 1 Year
British multinational bank Standard Chartered expects Ethereum (ETH) to outperform Bitcoin (BTC) after spot ETFs for the former are approved by regulators in May of this year.
In a Monday research note, the bank waxed extra bullish on both assets, upping its previous Bitcoin cycle top prediction from $150,000 to $250,000 in 2025. Ethereum could climb over 4X to $14,000 per unit, following a 12-month tsunami of up to $45 billion in ETF inflows.
“We estimate that spot ETFs will drive inflows of 2.39-9.15 million ETH in the first twelve months after approval,” wrote the bank’s analyst Geoff Kendrick. “In USD terms, that equates to roughly $15 billion to $45 billion.”
The figure, Kendrick noted, mirrors his inflow expectations for Bitcoin spot ETFs in market cap-adjusted terms. Since launching on January 11 following a split-decision SEC approval, net inflows to the U.S. Bitcoin spot ETFs have totaled over $11.9 billion despite non-stop outflows from the Grayscale Bitcoin Trust (GBTC).
Standard Chartered bank worth $840B globally, points out the potential correlation between #Bitcoin and #gold. #Gold market cap = $14 Trillion#Bitcoin market cap = $1.4 Trillion
A gap of $12.6T exists. #Bitcoin at $680,000 would equal #Gold's market cap. pic.twitter.com/0F41ierFF9
— Wizzard Crypto (@NFTWizzardX) March 18, 2024
Given the current pace, the bank has revised its end-of-2024 Bitcoin price prediction from $100,000 to $150,000, with $200,000 marking the “new midpoint for a sideways trading range” at the end of 2025. This price would align with a “two-asset optimization scenario” where Bitcoin takes up 20% of investors’ allocation to gold within their portfolios.
Meanwhile, Ethereum is expected to either keep pace with or outpace BTC over
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