A positive yet astonishing forecast for BTC has been presented by the UK-based bank Standard Chartered. Its analysts are confident that Bitcoin will soar to a staggering $500,000 before the end of Donald Trump’s presidential term.
The bank believes that the flagship cryptocurrency's growth will be driven by a favorable regulatory environment and easy investor access to the asset.
According to Standard Chartered's forecast, Bitcoin is expected to reach $200,000 this year, gradually climb to $300,000 in 2026, hit $400,000 in 2027, and eventually, surge to $500,000 in 2028.
Currently, Bitcoin is trading at $98,600, which is 43% higher than its $68,800 value before Trump’s election. The $500,000 landmark expected by Standard Chartered means a 407% jump from current levels.
In this scenario, the market capitalization of the leading cryptocurrency would reach $10.5 trillion, surpassing Apple and Microsoft. At this price, Bitcoin would account for nearly 50% of the market value of gold, which stands at $19.4 trillion.
Experts at Standard Chartered firmly believe that Bitcoin has significant bullish potential. Their optimism stems from the expanded access to BTC following the introduction of spot Bitcoin ETFs in the US in January 2024. These ETFs have attracted massive capital inflows totaling $39 billion, supporting the "pent-up demand release theory" due to increased accessibility, according to the bank.
So, the US regulatory landscape is becoming benign for the crypto market. On top of that, Trump’s administration is actively working on the creation of a national digital asset reserve, with Bitcoin potentially at its core. If this scenario unfolds, Bitcoin’s "wild" volatility will settle down, attracting traditional investors who were previously scared by its daily swings, Standard Chartered analysts suggest.
As volatility declines, Bitcoin’s share in an optimized investment portfolio alongside gold will increase, the bank points out. In the long run, this will further drive up the price of the flagship cryptocurrency, Standard Chartered concludes.
