Crypto Assets Market Cap is soaring, is the market extremely optimistic? Standard Chartered: Could reach 10 trillion baht by 2026!

Standard Chartered Bank predicts that the Cryptocurrency Market Cap will reach $10 trillion.

Standard Chartered Bank recently released an extremely optimistic report, predicting that the global encryption currency market value will nearly quadruple in the next two years, reaching 10 trillion US dollars by the end of 2026. Currently, the total market value of the encryption currency market is about 2.7 trillion US dollars, and this forecast indicates that there will be huge growth potential in the market.

Standard Chartered Bank stated in the report: "We expect digital assets to experience similar price growth as in 2021 in the next two years (calculated as a percentage). Similar to 2021, existing digital assets may see price increases, and emerging sub-industries will also emerge; this time, actual use cases are finally ready to enter the mainstream."

Trump's election victory has boosted market expectations, and BTC is expected to reach $200,000.

This optimism is partly due to Trump's decisive victory in the US presidential election. Trump made a series of commitments related to Cryptocurrency during the campaign, and now that he is back in the White House with a majority in the Senate and the House of Representatives, the market has a more positive outlook on Cryptocurrency policies.

Standard Chartered Bank reiterated its previous prediction that by the end of 2025, Bitcoin will reach $200,000, and Ethercoin will exceed $10,000. As of the completion of the manuscript, the price of BTC is about $76,500, and Ethercoin is about $3,020. This means that both BTC and Ethercoin have huge upside potential.

The bank expects that Trump and his congressional allies will quickly implement a number of measures to bring positive price trends to many Cryptocurrencies. These include abolishing the SAB 121 regulations that hinder banks from custodying Cryptocurrency, enacting legislation for Stable Coin, terminating the Securities and Exchange Commission (SEC)'s severe crackdown on Cryptocurrency, and Trump's possible establishment of a bitcoin reserve for the US government, despite Standard Chartered Bank's view that the 'likelihood is low' for this plan.

The new policy promotes the opportunity for cottage currency and emerging industries.

Standard Chartered Bank also mentioned that other new developments will define the cryptocurrency ecosystem within the next two years. Despite the soaring price of BTC, as the world's largest cryptocurrency, its dominant position in the digital asset industry may decline from the current 60% to 40%. The rise of altcoins that will drive the explosion of value will be the emergence of encryption tokens with practical applications.

The bank said, "Digital assets that are closer to the ultimate use may benefit more. In particular, we expect Solana to outperform BTC and Ethercoin." Standard Chartered Bank believes that blockchain platforms like Solana, due to their fast and low-cost transaction characteristics, will attract more attention and investment in the future.

Standard Chartered's global head of digital asset research, Geoff Kendrick, said that several use cases will drive the immediate trend of stablecoins' growth, including gaming, tokenization, Decentralization of physical infrastructure (DePIN), and the development of on-chain consumer social products.

Policy-friendly, the market welcomes the 'Summer of Cryptocurrency'

In addition, Standard Chartered Bank emphasizes that the regulatory changes that the new US government may bring will drive the next stage of growth in digital assets. They expect the total market capitalization of encryption currencies to reach $10 trillion by the end of 2026, thanks to policy support, rising institutional interest, and the maturity of various blockchain use cases.

The report concludes that emerging industries such as Decentralized Finance (DeFi) and Decentralized Physical Infrastructure Network (DePIN) have tremendous growth potential. With the elimination of regulatory barriers, the market capitalization of DeFi could increase to about $700 billion by 2026. In addition, categories such as gaming, tokenization, and consumer-oriented Decentralized Social Networks are also expected to expand, contributing to an 'Other' category with a market cap of $1.5 trillion by 2026.

Overall, the outlook for Standard Chartered Bank highlights the potential of a broad 'Crypto Assets Summer', with both the increase in the valuation of existing assets and the emergence of new sub-industries. The bank attributes this expected growth to favorable policy changes, institutional interest rise, and the maturity of various blockchain applications. If the predicted regulatory environment materializes, Standard Chartered Bank believes that digital assets will see significant mainstream adoption and a rise in market capitalization in the next two years.

Disclaimer: The market is risky, and investment should be cautious. This article does not constitute investment advice. Users should consider whether any opinions, perspectives, or conclusions in this article are applicable to their specific circumstances. Invest at your own risk.