Standard Chartered slashes ether price target amid ongoing market struggles

In a recent report published on March 17, 2025, Standard Chartered, a prominent banking institution, adjusted its price outlook for ether, the second-largest cryptocurrency by market capitalization. The firm now projects a year-end price of $4,000, significantly lower than its previous estimate of $10,000, reflecting a more cautious view of the asset's performance given the current market conditions. Ether’s price was observed trading at approximately $1,932, marking a considerable decline of 42% for the year, and reaching its lowest level since 2023. The decline in ether's value comes amid a broader downturn in the cryptocurrency market, attributed to various factors including investor anxiety over potential global economic repercussions stemming from tariffs imposed by President Donald Trump. This broader sell-off has contributed to increased volatility, further exacerbating the struggles that ether has faced in recent months. Several underlying issues have also contributed to the growing concerns about ether’s performance. In recent evaluations, the cryptocurrency has encountered fierce competition from alternative platforms, notably Solana, which has increasingly captured market share. Moreover, analysts pointed out that ether has been experiencing an identity crisis alongside diminishing revenue following its last major technical upgrade, which was branded “Dencun,” occurring in March 2024. Looking ahead, Standard Chartered analyst Geoff Kendrick expressed an optimistic but cautious outlook, suggesting that while there may be a recovery ahead—driven potentially by a rising Bitcoin market—ether's underperformance is likely to continue. He noted the increasing dominance of Layer 2 solutions in the blockchain space, particularly emphasizing Coinbase’s Base that operates atop Ethereum and has significantly impacted ether’s capitalization. Further emphasizing the potential risks, Kendrick pointed out that the projected decline of ether's price relative to Bitcoin over the next two years could reach levels not seen since early 2017, underscoring a challenging outlook for the cryptocurrency market as a whole.