PANews reported on March 17 that according to CoinDesk, Standard Chartered Bank has slashed its ETH price target by the end of 2025 from $10,000 to $4,000 in its latest research report, believing that Ethereum is facing a structural decline.
Core ideas:
• L2 expansion weakens ETH market value: Layer 2 (L2), which was originally used to improve Ethereum's scalability, such as Coinbase's Base, has caused ETH's market value to evaporate by $50 billion and may continue to affect its market dominance.
• The ETH/BTC ratio is expected to continue to decline: Standard Chartered expects the ETH/BTC ratio to fall to 0.015 by the end of 2027, its lowest level since 2017.
• Future growth may rely on RWA: If the tokenization of real-world assets (RWA) develops rapidly, ETH may still maintain its 80% security market share, but the Ethereum Foundation will need to adopt more aggressive business strategies (such as imposing taxes on L2), but the possibility is low.
• Bitcoin bull market may drive ETH to rebound in the short term: Although ETH’s current price is about $1,900, Standard Chartered expects that the rise in Bitcoin will drive ETH to rebound, but in the long run, ETH will still underperform the market.
