Summary
- Geoffrey Kendrick from Standard Chartered considers Ethereum’s recent downturn from its peak a “great entry point,” forecasting a target of $7,500 by the end of 2025.
- Since June, treasury firms and ETFs have acquired 4.9% of circulating ETH, contributing to the upward momentum leading to an all-time high of $4,953.
- Ethereum ETFs garnered $444 million in inflows on Monday, compared to $219 million for Bitcoin ETFs, with Ethereum outperforming BTC by 32.6% to 17.3% year-to-date.
According to Standard Chartered, Ethereum’s recent pullback presents a “great entry point” for investors.
The bank’s head of digital assets, Geoffrey Kendrick, believes Ethereum is set to reach $7,500 by the end of 2025 as institutional interest rises.
A research note shared with Decrypt revealed that Ethereum treasury firms and ETFs have purchased 4.9% of the ETH supply since June.
Kendrick argues this buying pressure has significantly contributed to Ethereum’s rise to $4,953 on Sunday, surpassing the previous all-time high set in November 2021.
“These inflows are substantial, but we are just at the beginning,” he stated.
Last month, Kendrick projected that treasury companies would soon command 10% of all circulating ETH, and he now believes that target is well within reach.
“At present levels, ETH and the ETH treasury companies appear undervalued,” he noted.
As of now, CoinMarketCap data indicates that Ethereum is trading at a 10.9% discount to the record highs achieved just two days prior.
Kendrick has previously suggested that it would be more logical for treasury companies to hold ETH instead of BTC as part of their reserves.
“ETH corporate treasuries can take advantage of both staking rewards and decentralized finance (DeFi) opportunities, benefits that U.S. Ethereum ETFs currently lack. Therefore, we believe ETH treasury companies have greater potential for growth compared to BTC counterparts,” he noted in a memo dated July 29.
This hasn’t stopped investors from exploring ETH ETFs. SoSoValue data shows inflows reached $443.9 million on Monday—more than double the $219 million that flowed into BTC-focused funds. Additionally, while BTC ETFs faced outflows all last week, ETH funds drew in over $628 million across Thursday and Friday.
Year to date, ETH has increased by 32.6%, significantly outpacing Bitcoin, which stands at 17.3%.
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