Investment bank Standard Chartered (STAN) predicts ether (ETH) will hit $40,000 by the end of 2030, beating bitcoin (BTC). Despite weaker-than-expected performance across digital assets this cycle, the bank sees ether's structural advantages playing out over time.
ETH/BTC Ratio Set to Revisit 2021 Highs
Geoff Kendrick, head of digital assets research at Standard Chartered, wrote in a Monday report that ether's relative outlook has improved. The ETH/BTC ratio is expected to climb back toward its 2021 highs as bitcoin's weaker performance weighs on the broader market. Ether was trading around $3,100 at publication time.
U.S. CLARITY Act as a Key Catalyst
Kendrick highlighted that passage of the U.S. CLARITY Act, a digital asset regulatory framework, would be a major tailwind, particularly for ether. It could unlock the next steps for DeFi growth. The House of Representatives' market structure legislation is already progressing, with a Senate committee scheduling a hearing to vote on its own version later this week.
Bitcoin has oscillated between $90,000 and $93,000 in recent days, rebounding from a soft end to 2025. Traders are cautious ahead of U.S. inflation and jobs data. Ether has tracked gains modestly, while some altcoins like XRP saw double-digit rallies. Total crypto market cap remains above $3 trillion, signaling persistent investor interest.
ETF Flows Slow, Corporate Treasury Provides Edge
Slower inflows into crypto ETFs and digital asset corporate treasuries have weighed on the sector, according to Kendrick. However, ether benefits from continued buying by Bitmine Immersion (BMNR), the largest Ethereum-focused corporate treasury. Standard Chartered also holds a bullish view on stablecoins, real-world assets (RWA), and DeFi, areas where Ethereum dominates.
Scaling Progress: L1 Throughput to Increase Tenfold
The bank's analysis shows that higher transaction throughput historically correlates with larger market capitalization. Ethereum's plan to increase layer-1 capacity by roughly tenfold is gaining traction. Kendrick believes that achieving this scaling milestone would directly support ether's long-term valuation.