Standard Chartered’s Geoffrey Kendrick believes Bitcoin could still experience a final drop to around $50,000 before staging a strong recovery. He suggests the current downturn resembles a broader, macro-driven sell-off in tech rather than a crisis specific to crypto.
Speaking on a podcast, Kendrick, the bank’s head of digital assets research, maintains his long-term targets: $100,000 by year-end and $500,000 by 2030. However, he cautions that the short-term outlook is fragile. “Picking the bottom is always extremely difficult,” he noted, describing the recent selling as mostly orderly.
He pointed out that institutional positions have remained relatively stable, with ETF holdings proving resilient and companies like MicroStrategy continuing to buy Bitcoin even as its stock premium diminished.
Still, Kendrick warned the market may not be finished shedding leverage. “I suspect we could still see that final capitulation. Now, it could be macro driven,” he said, noting that Bitcoin and crypto remain highly correlated with the Nasdaq. He argued that potential weak earnings from major U.S. tech companies, combined with a lack of immediate support from the Federal Reserve, could pull crypto lower alongside stocks, making a move to $50,000 plausible.
He compared this to previous cycles, noting such a decline would still be less severe than the 75% peak-to-trough drop seen last time. A key difference now, he said, is the absence of a major internal crypto collapse like FTX.
Long-Term Bullish Outlook
Despite near-term caution, Kendrick’s medium and long-term view is decidedly bullish. His optimism is tied less to trading flows and more to structural shifts driven by stablecoins and tokenized real-world assets.
Last year, with stablecoins around $200 billion, he projected they could grow to $2 trillion by 2028. The market is now near $300 billion, and he estimates about $200 billion of that is being used for savings in emerging markets, rather than for crypto trading. This capital often sits in large wallets and turns over slowly, acting more like stored value.
Kendrick argues this trend could have macro implications beyond crypto. If stablecoin issuers absorb nearly $1 trillion in additional demand for U.S. Treasury bills over the next few years, the U.S. Treasury might shift more issuance to short-term debt. This could flatten the yield curve and reinforce dollar demand—a liquidity effect that could eventually support risk assets like Bitcoin.
“I think we go down to, let’s say, $50,000 and back to $100,000 by the end of this year and $500,000 by 2030,” Kendrick said. He added that the growth of stablecoins could become “massively supportive of Bitcoin medium term.”
He extended this optimism to other major cryptocurrencies, predicting Ethereum could reach $40,000 and Solana $2,000 by 2030. He also projected that tokenized real-world assets could grow from about $40 billion today to $2 trillion by 2028.
For now, however, Kendrick’s message focused more on navigating near-term volatility than on chasing immediate gains.The focus is more on building momentum than on the gap between market price and actual adoption. “Almost all the fundamental metrics have been getting stronger,” he noted. “The only exception is the price.” At the time of reporting, Bitcoin was trading at $70,260.
Frequently Asked Questions
Of course Here is a list of FAQs based on the warning from Standard Chartered about a potential Bitcoin price drop to 50000
Beginner General Questions
1 What is this warning about Bitcoin dropping to 50000
A top analyst at a major bank Standard Chartered predicted that Bitcoins price could fall to around 50000 in the short term before potentially rising again later in the year
2 Why would Bitcoins price drop to 50000
The analyst cited several reasons including slowing inflows into Bitcoin ETFs typical profittaking by investors after a big rally and overall reduced momentum in the market
3 Is this a prediction that Bitcoin is crashing or failing
Not necessarily The analyst framed it as a temporary liquidity shakeout or correctiona common pause or pullback in a bull marketwith a potential rebound expected afterward
4 Should I sell my Bitcoin if I hear this news
This is personal financial advice we cannot give Predictions are not certainties Many investors see shortterm dips as buying opportunities while others may choose to reduce risk You should make decisions based on your own research and risk tolerance
5 What does rebounding mean in this context
It means the price is expected to recover and go back up after the drop The analyst suggested Bitcoin could still reach much higher prices by the end of the year after this potential dip
Intermediate MarketBased Questions
6 What are ETF inflows and why do they matter for Bitcoins price
Bitcoin ETFs are new investment funds that buy Bitcoin Large consistent inflows from these ETFs have been a major driver of the recent price increase Slowing inflows could reduce buying pressure
7 What is profittaking
Its when investors who bought Bitcoin at lower prices sell some of their holdings to lock in gains after a significant price increase This selling can temporarily push the price down
8 How reliable are bank predictions about Bitcoin
They are educated guesses based on market data not guarantees Banks like Standard Chartered have sophisticated models but cryptocurrency markets are highly volatile and influenced by many unpredictable factors
9 Has Bitcoin had similar corrections before
Yes absolutely In previous bull markets Bitcoin has frequently experienced sharp drops of 20