Standard Chartered, a global banking and financial services company, has predicted that the price of Bitcoin (BTC) could surge to $500,000 by 2028. The prediction, made on December 14, 2020, is based on the belief that increased investor access and diminishing volatility will make Bitcoin a more attractive hedge against traditional finance risks.
Geoffrey Kendrick, Standard Chartered's global head of digital assets research, attributes the expected price rise to the maturing U.S. exchange-traded fund (ETF) market and the Trump administration's policies that have improved access to Bitcoin. Institutional inflows into spot Bitcoin ETFs are projected to continue growing, further driving up the price.
The bank's analysis suggests that Bitcoin's share of an optimized two-asset portfolio with gold will increase, leading to price appreciation as the portfolio moves towards its optimal state. This trend, combined with the factors mentioned above, is expected to push Bitcoin's price to $500,000 before the end of Trump's presidency.
Standard Chartered's year-end price target for Bitcoin is $200,000, with a target of $300,000 for 2026. Currently, Bitcoin is trading around $98,000. The Bitcoin-gold ratio recently hit its lowest level since mid-November, as gold prices surged amid concerns about the U.S.-China trade war and increased Chinese demand.