Ether is positioned to outperform bitcoin over the long term despite uneven momentum across digital asset markets, according to a new outlook from Standard Chartered. The bank said Ethereum’s structural advantages across decentralized finance, stablecoins, and tokenized assets support a stronger relative trajectory, even as it trimmed medium term price targets to reflect broader crypto weakness. While near term performance has been constrained by softer bitcoin dynamics and slower inflows into crypto exchange traded products, the bank raised its longer range forecast and now expects ether to reach 40000 dollars by the end of the decade. Analysts said the ETH BTC ratio is likely to recover toward levels last seen during the 2021 cycle as Ethereum’s ecosystem driven demand continues to compound. Ether was trading near 3100 dollars at the time of publication, well below levels implied by the bank’s long term thesis but consistent with a market still digesting macro and regulatory uncertainty.
Standard Chartered pointed to sector specific tailwinds that differentiate Ethereum from bitcoin, particularly its central role in decentralized finance, stablecoin issuance, and real world asset tokenization. The bank said these segments are likely to expand regardless of short term market volatility, providing Ethereum with persistent underlying demand. Continued adoption by corporate treasuries focused on ether exposure was also cited as a supportive factor, alongside steady onchain activity despite cyclical pullbacks. In contrast, bitcoin’s performance this cycle has been more sensitive to macro conditions and liquidity expectations, which has weighed on broader sentiment. The bank also emphasized progress on Ethereum’s technical roadmap, noting that increases in base layer throughput have historically correlated with higher network value. Planned upgrades aimed at significantly expanding transaction capacity are viewed as a meaningful catalyst that could reinforce Ethereum’s position as the primary settlement layer for onchain financial activity.
Regulation was highlighted as another potential inflection point for Ethereum’s outlook. Analysts said passage of a comprehensive US digital asset market structure framework could unlock the next phase of decentralized finance growth, an area where Ethereum remains the dominant platform. Clearer rules around asset classification, custody, and compliance would likely encourage institutional participation, benefiting networks with deep liquidity and established infrastructure. While the bank expects crypto markets to remain volatile in the near term, it argued that Ethereum stands to gain disproportionately from regulatory clarity compared with more narrowly focused assets. Standard Chartered added that its constructive stance on stablecoins and tokenized assets reinforces the long term case, as both rely heavily on Ethereum based infrastructure. Taken together, the bank’s analysis suggests that while short term price action may remain constrained, Ethereum’s combination of utility, scalability improvements, and regulatory leverage positions it for stronger relative performance over the coming years.
