BizwavemediaPersonal Finance and Crypto Updates

Standard Chartered has lowered near-term forecasts for digital assets, projecting that Bitcoin could fall to $50,000 while Ethereum may test $1,400 as investor willingness to take on risk continues to fade.

In a recent note, Geoff Kendrick, head of digital assets research at Standard Chartered, highlighted several factors that could pressure the crypto market in the near term, including weak price action, subdued ETF inflows, and unsupportive macroeconomic conditions.

He noted that the current sell-off, though less severe than in 2022, has already driven prices down significantly, reflecting ongoing downward pressure.

Bitcoin ETF holdings have declined roughly 25% from their October 2025 peak, suggesting that institutional investors are selling rather than buying. Many investors are sitting on large unrealized losses, which could increase the likelihood of continued selling, according to Kendrick.

Mixed US economic data and expectations that the Federal Reserve will maintain rates until a leadership change in June may also keep inflows into digital assets muted, the analyst warned.

As a result, Bitcoin and Ethereum could face further price declines as investor risk appetite continues to wane.

Despite these near-term challenges, Kendrick remains optimistic about the long term. He expects the two leading digital assets to recover through 2026, maintaining his year-end targets of $100,000 for Bitcoin and $4,000 for Ethereum.

Markets declined Thursday afternoon as concerns over artificial intelligence’s rapid expansion and its potential to disrupt multiple industries weighed on investor sentiment.

Bitcoin, the largest digital asset by market value, fell 2.5% to trade below $66,000, dragging the broader crypto market lower. Ethereum changed hands near $1,900 as digital assets tracked equity losses.

The S&P 500 shed 1.1% while the Nasdaq dropped more than 1.4%. Among the mega-cap technology names, Apple retreated 5%, Tesla lost 3%, and both Meta and Amazon slid 2.5%. Nvidia dipped 0.5%, with Alphabet and Microsoft flat on the day.

Commodities suffered steep declines. Gold fell 3% to roughly $4,930, and silver tumbled nearly 10% to $76.

Software stocks extended a punishing stretch tied to fears that new AI tools could replicate core offerings or squeeze margins. Salesforce slipped 2% on the session and has now lost more than 31% since January. The iShares Expanded Tech-Software Sector ETF fell 3% and sits approximately 32% off its recent peak.

Attention now turns to Friday’s inflation data. Economists polled by Dow Jones forecast January consumer prices rising 0.3% on a monthly basis for both headline and core measures.

The U.S. dollar index edged higher to 96.93, signaling a move toward defensive positioning.

Coinbase reported a $667 million loss in the fourth quarter as revenue declined roughly 20% from a year earlier, missing analyst expectations.

The exchange generated approximately $1.8 billion in revenue during the quarter, below Wall Street forecasts. Non-GAAP earnings came in at $0.66 per share, more than 30% under consensus estimates.

The earnings miss comes amid a broader slowdown in crypto markets. Bitcoin has fallen more than 47% from its October 2025 peak near $126,000, with trading volumes and overall investor activity declining across exchanges.

Despite the weak quarter, Coinbase posted strong full-year metrics. Trading volume reached $5.2 trillion in 2025, up 156% from the prior year, while its global market share more than doubled to 6.4%.

Revenue from subscriptions and services totaled $2.8 billion for the full year, having grown more than fivefold since 2021. The platform now has roughly one million paying subscribers, triple the figure from three years ago.

Throughout 2025, Coinbase expanded its product lineup, launching 24-hour perpetual futures for U.S. customers, prediction markets, and equity trading. Twelve separate offerings now generate at least $100 million in annualized revenue, according to the company.

Shares of Coinbase fell 7.9% on Thursday, before rebounding 3% in after-hours trading following the earnings report.

Bitcoin dropped 2% on Thursday, sliding toward $66,000 by midday and dragging the broader crypto market lower.

Ethereum hovered near $1,900, while Solana fell to $78, and XRP declined to $1.35. The overall market was mixed, with some altcoins in the red and others showing modest gains.

The move triggered over $80 million in liquidations in the past hour and more than $280 million over the past 24 hours, per Coinglass. Meanwhile, open interest on Bitcoin positions across exchanges has dropped to its lowest level since November 2024, now sitting at $45 billion.

The latest pressure came after Standard Chartered lowered both its short-term and full-year crypto forecasts.

The bank now expects Bitcoin to fall near $50,000 in the coming months, with Ethereum potentially dropping to $1,400. Geoff Kendrick, head of digital assets research at the firm, said the recent selloff could continue as ETF investors, many sitting on losses, are more likely to exit than “buy the dip.”

The bank also cut its year-end targets: Bitcoin from $150K to $100K, Ethereum from $7,500 to $4,000, Solana from $250 to $135, and BNB Chain from $1,755 to $1,050.

Broader markets also retreated. The S&P 500 was down nearly 1% at press time, while the Nasdaq dropped 1.7%. Metals sold off sharply, with gold down 2.4% at $4,960 and silver plunging 9% to $76.

Coinbase, the largest publicly traded crypto exchange in the U.S., faces mounting pressure from Wall Street as analysts slash price targets ahead of its quarterly earnings report scheduled for Thursday.

Shares of the San Francisco-based firm have dropped 34% since January, trading near $152 after falling 6% today. The decline mirrors a broader pullback in digital assets, with Bitcoin down 27% over the past month to around $67K.

JPMorgan, the global investment bank, lowered its year-end forecast for the stock from $399 to $290, citing diminished trading activity and shrinking stablecoin supply. The firm’s analysts also flagged intensifying rivalry from overseas platforms seeking U.S. listings.

Cantor Fitzgerald trimmed its outlook from $277 to $221, while Citi, the multinational lender, reduced its target from $505 to $400. All three maintained positive ratings on the shares.

The exchange posted transaction revenue exceeding $1B during the third quarter of last year, beating consensus estimates with earnings of $1.44 per share versus a $1.09 forecast. Analysts now project earnings per share of $1.05 for the fourth quarter of 2025.

US employers added 130,000 jobs in January, nearly doubling the 65,000 consensus forecast and signaling unexpected resilience in the labor market.

The Bureau of Labor Statistics, the federal agency tracking employment data, reported the unemployment rate dipped to 4.3%, below the anticipated 4.4%.

Healthcare drove much of the gain, contributing 82,000 positions, while social assistance added another 42,000. Federal government payrolls fell by 34,000, extending a decline that began in late 2024.

Private-sector hiring reached 172,000, far exceeding the 68,000 projected by economists.

The Federal Reserve monitors nonfarm payroll data closely when assessing inflation pressures and calibrating interest rate policy. The stronger-than-expected figures could complicate deliberations about potential rate cuts.

Revisions to prior months painted a less optimistic picture. November and December figures were adjusted downward by a combined 17,000 jobs, suggesting the labor market had cooled more than initially reported heading into the new year.

Goldman Sachs disclosed approximately $260 million in combined Solana and XRP exchange-traded fund holdings by the end of the fourth quarter of 2025, its first reported positions tied to crypto assets other than Bitcoin and Ethereum.

Goldman’s XRP allocations were closely balanced across all issuers, totaling $152 million.

According to the disclosure, the bank held 2 million shares of the 21Shares XRP ETF valued at $35.9 million, 1.9 million shares of the Bitwise XRP ETF worth $39.8 million, 1.9 million shares of the Franklin XRP Trust valued at $38.4 million, and over 1 million shares of the Grayscale XRP ETF worth approximately $37.9 million.

Unlike XRP distribution, Solana exposure was more concentrated among early entrants to the market.

Of the $108 million allocated to Solana products, about $45 million was invested in the Bitwise Solana Staking ETF and $35.7 million in the Grayscale Solana Trust ETF, while smaller positions were held in funds tied to Fidelity, VanEck, 21shares, and Franklin Templeton.

Despite scaling back its Bitcoin exposure, Goldman kept Bitcoin as its largest digital asset position, followed by Ethereum.

The bank reported owning 20.7 million IBIT shares worth over $1 billion, compared with 33.9 million shares in the third quarter of 2025. The filing also details large options positions tied to IBIT.

Goldman’s stance on digital assets has shifted considerably since 2020, when executives publicly expressed skepticism about the sector. The approval of spot Bitcoin ETFs in early 2024 prompted the bank to begin acquiring direct exposure through regulated vehicles.