Standard Chartered (SCBFF) has raised its Ethereum (ETH-USD) price prediction for 2025 to $7,500, up from its earlier target of $4,000. The bank credited growing institutional buying, the rapid rise of stablecoins, and upcoming network upgrades for the bullish call.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
In its report, the bank stated, “A lot has changed since our last ETH forecast update in March.” That shift reflects how quickly momentum has built across the Ethereum ecosystem in recent months.
Institutional Buyers Accelerate Accumulation
According to Standard Chartered, treasury companies and exchange-traded funds have purchased 3.8% of all ETH in circulation since early June. This buying pace is almost twice as fast as Bitcoin’s biggest institutional run during the 2024 US election cycle.
The bank also pointed to stronger engagement from the Ethereum Foundation and Etherialize, which it sees as a sign of deeper support for the network’s growth and long-term value.
Stablecoins Provide Extra Lift
A major catalyst for Ethereum’s growth comes from the stablecoin market. The GENIUS Act, passed in July, created clear rules for stablecoins and opened the door for more mainstream use. Stablecoins now account for 40% of all blockchain fees, and over half of them operate on Ethereum.
Standard Chartered expects stablecoin market value to grow eightfold to $2 trillion by 2028. That growth would boost Ethereum’s role in decentralized finance, where it already controls 65% of total value locked.
Fusaka Upgrades Aim to Boost Capacity
Ethereum’s network upgrades are another reason for the bullish outlook. One of the key changes, called Fusaka, is designed to increase Layer-1 throughput by 10 times. This will allow the blockchain to process more high-value transactions directly while moving smaller ones to Layer-2 networks like Arbitrum and Base.
These improvements could make Ethereum more attractive to institutions and developers. If Fusaka delivers as planned, Ethereum could become an even stronger base for global financial applications.
At the time of writing, ETH is sitting at $4,723.98.
