Standard Chartered: Bitcoin Sell-Off Nearing Bottom, $100K Target Set for End of 2026

Standard Chartered (SC) has assessed that the recent sharp decline in the Bitcoin market is approaching a bottom, with the peak of the sell-off likely behind us. In a research note reported by The Block, Geoffrey Kendrick, the bank’s head of digital assets research, outlined several factors supporting a near-term recovery and a long-term bullish outlook.

Key Drivers Behind the Bottom Call

Kendrick pointed to the structural strength of spot Bitcoin ETF holdings as a primary reason for confidence. Despite the price drop, he noted that ETF-based BTC holdings have remained resilient, indicating that institutional investors are not panic-selling. Additionally, he highlighted an anticipated large-scale repurchase from Strategy (formerly MicroStrategy) as a potential catalyst for a price rebound.

According to Kendrick, the direct cause of this week’s decline was Strategy’s sale of 32 BTC. However, he drew a parallel to a similar event on December 22, 2022, when the company sold 704 BTC for tax purposes and then repurchased 810 BTC just two days later. Based on this precedent, he predicts a more aggressive repurchase this time, potentially ranging from 320 BTC to 3,200 BTC.

The Long-Term Forecast

Standard Chartered maintains its ambitious price targets: $100,000 for Bitcoin and $4,000 for Ethereum by the end of 2026. Kendrick suggested that when looking back from that vantage point, the current period of volatility will be seen as a significant buying opportunity. This forecast aligns with the bank’s broader thesis that digital assets are entering a phase of sustained institutional adoption and regulatory clarity.

Implications for Investors

For market participants, the analysis provides a counterpoint to prevailing bearish sentiment. The emphasis on ETF stability and corporate buying activity suggests that the recent sell-off may be more of a tactical correction than a structural breakdown. However, the forecast remains contingent on broader macroeconomic conditions and regulatory developments.

Conclusion

Standard Chartered’s assessment offers a measured, data-driven perspective on the current Bitcoin downturn. While short-term volatility persists, the bank’s analysis points to underlying strength in institutional holdings and potential corporate buying activity that could stabilize and eventually lift prices. The $100,000 target for end of 2026 remains a long-term horizon that investors should weigh against near-term risks.

FAQs

Q1: Why does Standard Chartered believe the Bitcoin sell-off is near the bottom?
A1: The bank cites structurally strong spot ETF holdings, a lack of panic selling by institutions, and the expectation of a significant BTC repurchase by Strategy as key indicators that the worst of the sell-off has passed.

Q2: What is the significance of Strategy’s BTC sale and potential repurchase?
A2: Strategy sold 32 BTC, which triggered a price decline. However, based on a 2022 precedent where the company sold for tax purposes and quickly repurchased more, analysts expect a larger repurchase (320–3,200 BTC) that could support prices.

Q3: What are Standard Chartered’s price targets for Bitcoin and Ethereum?
A3: The bank forecasts Bitcoin reaching $100,000 and Ethereum hitting $4,000 by the end of 2026, viewing current market conditions as a long-term buying opportunity.