Ether is positioned to outperform bitcoin over the long term, with prices potentially climbing to $40,000 by the end of the decade, according to a new outlook from Standard Chartered. The bank said Ethereum is benefiting from sector specific tailwinds even as broader crypto markets struggle to regain consistent momentum. While bitcoin’s uneven performance has weighed on digital assets overall, Standard Chartered sees ether’s relative strength improving as its role in decentralized finance, stablecoins, and tokenized assets continues to expand. The bank expects the ETH to BTC ratio to trend higher over time, moving closer to levels last seen during the 2021 cycle. Ether was trading near $3,100 at the time of the report, reflecting modest gains alongside a broader market that remains sensitive to macroeconomic and policy signals.
Despite its long term optimism, Standard Chartered trimmed its medium term ether price targets for 2026 through 2028, citing slower capital inflows into crypto exchange traded funds and digital asset corporate treasuries. The bank noted that near term performance across crypto remains constrained by bitcoin’s consolidation and cautious investor positioning. However, it raised its longer horizon forecasts as Ethereum’s structural advantages are expected to compound over time. Analysts pointed to continued accumulation by Ethereum focused corporate treasuries and growing institutional use of the network as supportive factors. In contrast to speculative cycles driven by retail flows, the bank emphasized that Ethereum’s value proposition increasingly rests on real economic activity occurring on chain, which could support more durable price appreciation as adoption deepens.
Standard Chartered also highlighted regulatory and technical developments as key catalysts for Ethereum’s next phase of growth. Progress toward a US digital asset market structure framework could unlock further expansion in decentralized finance, where Ethereum remains the dominant platform. The bank said clearer rules would encourage broader participation by institutions and developers, reinforcing demand for ETH as network usage grows. On the technical front, planned upgrades aimed at significantly increasing base layer throughput are seen as another major tailwind, with historical data showing a strong relationship between network capacity and market capitalization. While short term volatility is likely to persist, the bank expects Ethereum’s central role in stablecoins, real world assets, and DeFi to underpin long term outperformance relative to bitcoin.
