The standard price of Price Target Eth by 60%, predicts $ 4K at the end of the year

Standard Chartered has changed its 2025 end -year price objective for ethereum from $ 10,000 to $ 4,000, citing structural challenges within the ethereum ecosystem.

Bank analysts attribute this adjustment to the impact of layer 2 solutions, particularly the Coinbase base network, which has reduced the market capitalization of ethereum (eth) in an estimated $ 50 billion.

Capa 2 networks were developed as a basis for improving ethereum's scalability by reducing transaction rates and congestion.

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However, Standard Chartered's investigation indicates that these solutions may be diverting income far from the ethereum main network.

Base, for example, channels its profits to Coinbase, potentially decreasing the general market share of ethereum.

Decrease in eth/btc ratio

The bank also predicts a decrease in the eth/btc ratio, which predicts that it will reach 0.015 at the end of 2027, a level not seen since 2017. This suggests that ethereum can have a lower performance in relation to bitcoin in the coming years.

Despite these concerns, ethereum continues to lead in several key areas, including decentralized finances, stables and tokenized assets.

However, his domain has gradually decreased. Standard Chartered said that without proactive measures of the ethereum Foundation, such as the implementation of taxes on layer 2, it is likely that this decrease persists.

The bank acknowledged that ethereum's price could still increase from its current level of approximately $ 1,900, especially if bitcoin experiences significant profits. However, they warned that ethereum's relative performance can continue in the medium term.