Bitcoin and Ethereum may face further downside as market sentiment deteriorates and macroeconomic pressures mount, according to Standard Chartered’s head of digital asset research, Geoff Kendrick.
The warning comes amid a backdrop of softening U.S. economic data, reduced expectations for Federal Reserve rate cuts, and declining digital-asset ETF holdings. Kendrick believes Bitcoin could fall toward $50,000 and Ethereum toward $1,400 if risk appetite continues to weaken.
Lower Bitcoin and Ethereum Price Targets Amid Volatility
Kendrick’s projection follows the ongoing heightened volatility in crypto markets. Bitcoin currently trades around $67,972 after falling to a 16-month low of approximately $60,008 last week. Ethereum hovers near $1,987 after touching a nine-month low of roughly $1,751.
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According to Kendrick, the broader environment remains fragile. The combination of macroeconomic uncertainty and slowing demand has put pressure on digital assets, particularly as investors reassess their risk exposure. For instance, the uncertainty around Federal Reserve policy means markets that previously anticipated earlier rate cuts have been pushed toward mid-year.
A softer U.S. economy, coupled with sticky inflation data, has further complicated the path toward monetary easing. In prior cycles, Bitcoin and Ethereum benefited from abundant liquidity and accommodative policy. The current environment, however, is less giving. Under these conditions, speculative capital tends to contract.
Notably, Standard Chartered has revised its longer-term Bitcoin outlook in recent months. Earlier forecasts projecting Bitcoin toward $300,000 were scaled back to approximately $150,000 for 2026.
Kendrick previously described the 2025 drawdown as “within expected bounds,” but the evolving macro landscape and price action prompted the adjustments. The shift reflects a more tempered view of upside potential amid ongoing volatility. While the bank maintains that Bitcoin retains long-term structural appeal, short-term headwinds prompt a more cautious approach.
Bitcoin and Ethereum ETF Holdings and Flows
Another factor weighing on sentiment is the decline in digital-asset ETF holdings. Bitcoin ETFs, which previously absorbed significant supply and provided structural support, have seen weak flows in recent weeks. Thus, a source of major buy-side pressure has diminished.
That dynamic has led some analysts to argue that crypto markets are “shedding mass that was priced for a low-gravity environment,” meaning valuations that depended on persistent inflows may now be adjusting to a more constrained liquidity backdrop.
Technical Levels To Watch
From a technical perspective, Bitcoin’s key support zone lies near the recent $60,000-$62,000 range. A sustained break below that area could increase the probability of a move toward the $50,000 level cited by Standard Chartered.
On the upside, reclaiming resistance between $75,000 and $80,000 would signal renewed bullish momentum and potentially invalidate deeper downside scenarios.
For Ether, immediate support rests in the $1,700-$1,800 region. A breakdown below that range could expose the $1,400 target area. Resistance remains concentrated near $2,200-$2,500, levels that would need to be reclaimed to shift short-term momentum back in favor of bulls.
The CoinRemark Team
Temitope Olajide
