Standard Chartered Cuts Ethereum Price Target to $4,000, Citing Layer 2 Dominance

Standard Chartered on Monday sharply lowered its 2025 price target for Ethereum (ETH) from $10,000 to $4,000, citing the growing dominance of Ethereum Layer 2 solutions, particularly Base. According to Standard Chartered's Geoffrey Kendrick, Base has allegedly removed $50 billion of market capitalization from Ethereum. Kendrick suggests taxing Layer 2 super-profits to address this issue, though he deems it unlikely. Ethereum's current price is around $1,900, a 60% decrease from its all-time high in November 2021. While a continued expansion of tokenized real-world assets and upcoming technical upgrades like Pectra in 2025 could boost demand, Kendrick anticipates ETH to appreciate to $7,500 by 2028-2029. He also projects the ETH/BTC ratio to decline to 0.015 by 2027, a level not seen since early 2017.