Standard Chartered reduces XRP year-end target to $2.80, citing ongoing crypto market weakness and a drop in ETF inflows.
Standard Chartered has reduced its year-end target for XRP by approximately 65%, bringing it down to $2.80 from an earlier projection of $8. The decision follows a broader slump in the cryptocurrency market, marking one of the worst downturns in almost four years. Analysts at Standard Chartered cited persistent weakness across digital assets as the primary reason for the cut in their price forecast.
XRP’s price has faced significant challenges, recently falling to $1.16, its lowest point since late 2024 before attempting a partial recovery. The drop in value prompted the bank to revise its expectations for XRP and other major cryptocurrencies. Geoffrey Kendrick, the global head of digital assets research at Standard Chartered, highlighted the continuing price challenges and warned of further declines in the short term.
This downward revision reflects the broader struggle in the cryptocurrency market, where Bitcoin and Ethereum have also seen price reductions. Standard Chartered has similarly adjusted its price targets for Bitcoin and Ethereum, reducing Bitcoin’s target from $150,000 to $100,000 and Ethereum’s from $7,000 to $4,000. Solana also saw a reduction in its year-end price target, from $250 to $135.
While XRP’s price has struggled, recent fund flow data suggests that there is still interest from institutional investors in the cryptocurrency. According to CoinShares’ weekly report, XRP saw inflows of $33.4 million in the last week, although this was down from the previous week’s $63.1 million. This indicates that while overall interest in XRP remains, the momentum has slowed down in recent weeks.
Source: X
The bank’s decision to slash its XRP price forecast coincides with a notable pullback in assets linked to XRP in exchange-traded funds (ETFs). The total assets in XRP-related ETFs fell by approximately 40% from $1.6 billion to around $1 billion between January and mid-February. These declines signal caution among investors as they react to the broader downturn in the crypto markets.
Notably, XRP’s ETF remained more attractive compared to Bitcoin and Ethereum ETFs, which saw higher outflows. This has led some analysts to suggest that institutional investors may be rotating their funds into specific altcoins like XRP rather than leaving the market entirely. Bank of America, for example, reported owning 13,000 shares of the Volatility Shares XRP ETF, indicating continued interest in the asset despite the broader market struggles.
XRP’s price has experienced significant volatility, with sharp fluctuations in recent days. Over the weekend, XRP price rose from $1.53 to a high of $1.66, a 9% increase within five hours, before plummeting back to $1.44 by the evening.
This sharp rise and fall were largely attributed to trading activity on Upbit, South Korea’s largest cryptocurrency exchange, which recorded over $600 million in XRP trading volume. This volume surpassed both Bitcoin and Ethereum on the platform, contributing to the rapid price swings.
Source: X
Market analysts have pointed out that Upbit’s order books may have played a central role in XRP’s recent price movements. According to data from Dom, a market analyst, the exchange placed significant sell pressure on the XRP market, resulting in the steep decline in price after the brief rally.
However, further investigations into the trading activity on Upbit revealed no signs of manipulation or wash trading, suggesting that the price swings were the result of genuine market activity from both retail and institutional traders.
