Bitcoin Price Could Reach $500K Before Trump Concludes Second Term, Standard Chartered Predicts

Despite recent setbacks and a significant selloff that brought Bitcoin to a three-month low, Standard Chartered maintains a strong bullish position on BTC market predictions. Geoffrey Kendrick, the head of digital assets research at the bank, forecasts that Bitcoin will climb to $500,000 before the conclusion of Donald Trump’s presidency. Additionally, BTC price might reach $200K by the end of 2025.

Bitcoin Remains Bullish Despite New Low

Standard Chartered predicts that although US President Donald Trump’s first month in office has introduced high volatility for risk assets, his administration could ultimately benefit Bitcoin.

In a CNBC interview, Geoffrey Kendrick, the head of digital assets research at Standard Chartered, projected that Bitcoin’s price would hit $200,000 this year. He anticipates it will surge to $500,000 by the end of President Trump’s second term, influenced by increased institutional adoption and the possibilities of clearer regulations.

Kendrick stated that the crypto ecosystem would benefit from the involvement of traditional financial institutions like Standard Chartered, BlackRock, and others who manage ETFs. He highlighted that their participation is crucial.

Kendrick also mentioned that as the industry grows more institutionalized, it should become safer and likely attract fewer negative headlines, such as the recent $1.5 billion hack at the cryptocurrency exchange Bybit last week.

He added that the rising adoption of cryptocurrencies by institutions, along with some regulatory clarity in the U.S., is expected to gradually reduce market volatility over time.

Earlier this week, Bitcoin dropped to a three-month low, falling below $90,000 amidst declines in global equity markets, as per CoinGecko data. On Thursday, the Bitcoin price made it to a trading value of $82,256, marking a roughly 20% decrease from its January peak.

Geoffrey Kendrick noted that crypto market has broadly declined due to uncertainties surrounding tariffs and the resolution of significant conflicts like those in Russia-Ukraine and Israel-Gaza.

Bitcoin’s Outlook is Strong Despite Correction

Bitcoin recently dropped below $82,000, hitting a three-month low in response to broader market declines. Market uncertainty is reflected in Bitcoin’s Short-Term Holder Spent Output Profit Ratio (STH-SOPR), which is hovering near the critical 1.0 breakeven level. A report from Glassnode, suggests that breaking above this threshold historically signals bullish momentum, while failure could trigger another wave of selling.

The STH-SOPR ratio, ranging from 0.98 to 1.04, has closely followed Bitcoin’s price movements. Recently, it indicated that short-term holders are uncertain, affecting Bitcoin’s potential to reach new highs or face further declines.

However, Julien Bittel, a Global Macro Investor, described Bitcoin’s recent price drop as a “normal occurrence in bull markets,” particularly after the substantial price surge that followed the US presidential election.

With Bitcoin trading at a lower price, it presents an attractive opportunity for whales and institutions to buy more during this dip. As buying interest increases, the price of BTC could experience a robust recovery, potentially initiating another bull run in the upcoming weeks.