Standard Chartered Predicts Bitcoin Will Hit US$500,000 by 2028

Analysts at Standard Chartered predict that Bitcoin could reach US$500,000 by 2028. This projection is based on increased investor access to Bitcoin and reduced volatility, positioning it as a unique hedge against the traditional financial system.

In an investor report released on Wednesday (Feb 5, 2025), Geoffrey Kendrick, Global Head of Digital Asset Research at Standard Chartered, highlighted that Bitcoin investment accessibility has expanded under President Donald Trump's leadership.

"Access has improved under the Trump administration," Kendrick wrote.

This factor is expected to drive greater institutional investment inflows, supported by enhanced trading infrastructure, such as the Bitcoin options market.

Greater Investment Access and Lower Volatility as Key Drivers

Kendrick explained that the combination of rising institutional investor participation and developing trading infrastructure could push Bitcoin’s price to US$500,000 before Trump’s term ends.

One major factor contributing to this trend is Bitcoin’s declining price volatility, in line with the maturing U.S. Bitcoin Exchange-Traded Fund (ETF) market.

Since its launch in January 2024, Bitcoin spot ETFs have significantly expanded investment access, with total net inflows reaching US$40.6 billion, according to Farside Investors.

Kendrick compared this to gold prices surging 4.3 times following the introduction of gold-based investment products like Exchange-Traded Products (ETPs) in 2004. He expects that Bitcoin ETFs could follow a similar pattern but within a shorter timeframe of around two years, compared to gold’s seven-year timeline.

Trump’s Pro-Crypto Policies

Beyond ETFs, Kendrick pointed out that Trump's regulatory policies could further strengthen Bitcoin's fundamentals.

One notable policy change is the repeal of Staff Accounting Bulletin (SAB 121), which previously restricted companies from recognizing digital asset holdings on their balance sheets. With this repeal, firms now have more flexibility in holding and managing Bitcoin in their financial statements.

Kendrick also highlighted Trump's executive order calling for an evaluation of a national digital asset reserve. If implemented, this could open the door for the U.S. Federal Reserve to consider investing in Bitcoin.

"Given these developments, which align with our previous expectations, we maintain our Bitcoin price target of US$200,000 by the end of 2025. Beyond that, we foresee Bitcoin reaching US$300,000 by 2026, US$400,000 by 2027, and US$500,000 by 2028, stabilizing at that level through 2029," Kendrick concluded.

As of this article’s publication, Bitcoin is trading around US$97,200, down 7% over the past week. The cryptocurrency continues to decline from its peak of US$109,100 on January 20, amid ongoing U.S.-China trade war tensions.

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