Standard Chartered has reduced its price targets for cryptocurrencies in 2026, warning of a potential short-term decline in digital assets due to fund outflows from ETFs and ongoing economic challenges. The bank’s report suggests that Bitcoin could drop to $50,000, while Ether may fall to $1,400 before a possible recovery. Cryptocurrencies have experienced significant volatility recently amid rising interest rates, economic pressures, and market uncertainties, which have negatively impacted prices. Additionally, the trend of withdrawing investments from exchange-traded funds (ETFs) is exerting further pressure on the crypto market. This volatility poses challenges for investors, especially those seeking short-term gains, though long-term investors are advised to understand these fluctuations and develop appropriate strategies. Standard Chartered’s forecast indicates that after this downturn, a recovery in cryptocurrencies is likely, signaling a potential return of market confidence. As cryptocurrencies continue to play an important role in the global financial system, their impact extends to other financial assets and investment trends, making it crucial for investors to monitor economic conditions and market changes to make informed decisions.
Source: coindesk
