Key Points:
- Standard Chartered cut its 2026 Bitcoin forecast from $150,000 to $100,000.
- Bitcoin prices dropped another 4% on Thursday, hitting around $65,000.
- Coinbase stock was downgraded to a “sell” rating with a target of $120.
- Analysts warn that fading momentum is replacing last year’s hype.
The cryptocurrency market is flashing warning signs as major financial institutions turn bearish. Standard Chartered has slashed its Bitcoin price prediction for the end of 2026, lowering it from $150,000 to $100,000. Just months ago, the bank had predicted a high of $300,000. Now, they warn that the digital currency could dip as low as $50,000 before finding stability.
This gloomy outlook matches recent market performance. Bitcoin tumbled again on Thursday, dropping 4% to approximately $65,079. The world’s largest cryptocurrency is now down more than 45% from its peak of over $126,000 in October.
Michael Novogratz, head of Galaxy Digital, explained the slump at a conference in New York. He noted that once Bitcoin crossed the $100,000 mark and new investors bought in, they were immediately met with heavy selling. Once the buying momentum stopped, prices began to slide backward.
Coinbase, the largest crypto exchange in the U.S., is also feeling the heat. Brokerage firm Monness, Crespi, Hardt & Co. downgraded the company’s stock to “sell.” They called hopes for a quick recovery “foolish,” cutting their price target for Coinbase shares to $120. The stock has already fallen about 40% this year.
To make matters worse, Coinbase experienced a technical outage on Thursday. Users were unable to buy, sell, or transfer funds, though the company assured customers their money was safe.
The market mood has clearly shifted. Last year, investors were betting on a massive breakout. Now, rallies are stalling out quickly. Standard Chartered analyst Geoffrey Kendrick noted that while this selloff hasn’t caused platforms to collapse like in previous years, the excitement is fading.
Despite the negativity, retail investors seem to be holding on. Analysts at JPMorgan Chase & Co. pointed out that regular traders have largely ignored the recent crash. Their data shows that average investors have kept their positions in Bitcoin ETFs steady since mid-January, refusing to panic sell despite the downturn.
