Standard Chartered Bank has reaffirmed its bold prediction that Bitcoin could reach $200,000 by the end of 2025, following the cryptocurrency's historic breakthrough of $100,000.
Geoff Kendrick, Global Head of Digital Assets Research at Standard Chartered, believes this target is achievable, particularly if institutional adoption accelerates. The bank's forecast comes as Bitcoin experiences a surge since early November, driven partly by Donald Trump's presidential election victory.
The projected price increase relies heavily on continued institutional investment flows. MicroStrategy, a major Bitcoin holder, plans to raise $42 billion over three years to acquire more of the cryptocurrency. Their aggressive purchasing strategy has inspired other companies, including Japan's Metaplanet and Germany's Acurx Pharmaceuticals, to follow suit.
Standard Chartered's outlook could become even more optimistic if Bitcoin sees increased adoption from U.S. retirement funds and global sovereign wealth funds. Currently, pension funds account for just 1% of Bitcoin ETF holdings, while hedge funds and investment advisors dominate the space.
ARK Invest CEO Cathie Wood supports this bullish sentiment, noting that Bitcoin remains in its "early innings" despite reaching six figures. She points to gold's $15 trillion market cap compared to Bitcoin's market value of approximately $2 trillion, suggesting substantial room for growth.
The bank's prediction aligns with growing institutional interest in cryptocurrency, particularly following regulatory changes and declining volatility. The potential implementation of crypto-friendly policies under a Trump administration, combined with new options trading on Bitcoin ETFs, could accelerate demand from traditional investment sectors.
Bitcoin currently trades above $101,000, marking a remarkable year of price appreciation primarily driven by institutional investors, while retail participation remains relatively low.