Standard Chartered Raises Ethereum Price Target to $7,500 Amid Stablecoin Growth

• Standard Chartered raised its Ethereum price target from $4,000 to $7,500 for 2025 and projects $25,000 by 2028. 

• The bank expects the stablecoin market to grow eightfold by 2028, increasing demand for ETH since most stablecoins run on Ethereum’s network. 

• Ethereum gained over 50% after the US passed the Genius Act, which provides regulatory clarity for stablecoins and boosts mainstream adoption.

Standard Chartered has dramatically increased its year-end Ethereum price forecast from $4,000 to $7,500, representing a 60% premium above Wednesday’s multi-year high of $4,700. The British banking giant cites strengthening market fundamentals and expanding stablecoin adoption as primary drivers behind the revised projection.

The world’s second-largest cryptocurrency has gained over 50% following regulatory developments in the United States. The Genius Act, recently signed into law, establishes a comprehensive framework for stablecoin regulation. This legislation has sparked optimism across digital asset markets about increased mainstream acceptance.

Stablecoin Market Expansion Fuels Ethereum Demand

Geoff Kendrick, Standard Chartered’s head of digital assets research, projects the stablecoin market will grow eightfold by 2028. This expansion directly benefits Ethereum since most stablecoins operate on its blockchain network. Every transaction requires ETH payments for network fees.

The bank’s analysis highlights Ethereum’s unique position in the cryptocurrency ecosystem. Unlike Bitcoin, Ethereum offers staking capabilities that allow holders to earn returns while supporting network operations. This feature attracts investors seeking active income generation from their digital holdings.

Kendrick emphasizes that Ethereum’s long-term success depends on positioning its Layer 1 blockchain for high-value transactions, particularly within traditional finance sectors. Significant capacity improvements on the main network will be crucial for achieving this objective.

Long-Term Outlook Shows Continued Confidence

Standard Chartered’s bullish stance extends beyond 2025. The bank projects Ethereum could reach $25,000 by 2028, marking a 233% increase from its current year-end target. Kendrick anticipates that Ethereum treasury firms will eventually control 10% of the total ETH supply.

Recent market performance supports this optimistic outlook. Ethereum’s price increased 5.56% in the past 24 hours, reaching $4,659.12. The token peaked at $4,682.10 during the trading session. Trading volume surged 36.81% to $65.29 billion, indicating robust market participation.

The cryptocurrency has maintained steady upward momentum throughout the trading period. Price action shows consistent gains from the session’s opening level of $4,232.10.

Traders view the regulatory clarity provided by the Genius Act as a catalyst for continued growth. The legislation addresses long-standing uncertainty around stablecoin operations, potentially accelerating institutional adoption.

Ethereum’s staking mechanism provides additional appeal for institutional investors. The proof-of-stake consensus model offers environmental benefits compared to Bitcoin’s energy-intensive mining process.

Standard Chartered’s revised forecasts reflect growing confidence in Ethereum’s role in cryptocurrency markets and traditional financial systems. The bank’s projections suggest sustained growth potential driven by regulatory clarity, expanding use cases, and increasing institutional participation in digital assets.