In a potentially game-changing projection, investment banking giant Standard Chartered is predicting that the total cryptocurrency market capitalization could surge to a staggering $10 trillion by the end of 2026 under a Republican Trump administration. The bold forecast, detailed in a research report released Friday, hinges on the transformative impact of an anticipated Republican sweep in the 2024 U.S. election.
Regulatory Shake-Up: The Key to a Crypto Boom?
Standard Chartered’s bullish outlook is anchored in the belief that a Republican takeover of both the White House and Congress would usher in a wave of positive changes for the digital assets sector. Central to this thesis is the expectation of a significant regulatory overhaul early in a new Trump administration.
The bank’s analysts see the potential for a personnel shuffle at the Securities and Exchange Commission (SEC) as a critical catalyst. A Republican-led SEC, they argue, could adopt a more accommodative stance toward cryptocurrencies and blockchain technology, easing the regulatory hurdles that have long been a source of uncertainty and volatility in the market.
Projecting a Fourfold Surge
Against this backdrop of anticipated regulatory relief, Standard Chartered is projecting a meteoric rise in the total crypto market capitalization. From its current level of around $2.5 trillion, the bank sees the potential for a fourfold increase to $10 trillion by the end of 2026 under a crypto-friendly Republican administration.
The rising tide should lift all digital assets; those most exposed to end-use cases are set to benefit most.
– Geoff Kendrick, Head of Digital Assets Research, Standard Chartered
In particular, the report highlights the potential for outsize gains in bitcoin (BTC), ether (ETH), and solana (SOL). Standard Chartered reiterated its year-end 2025 price targets of around $200,000 for bitcoin and $10,000 for ether, while tipping solana to outperform both of the two largest cryptocurrencies.
The Bitcoin Reserve Wild Card
In a more speculative vein, the report also floats the possibility that a Trump administration could consider the formation of an official bitcoin reserve. While characterizing this as a “low-probability but high-impact event,” the analysts suggest that such a move could lend unprecedented legitimacy and stability to the often volatile cryptocurrency market.
Crypto Summer on the Horizon?
With Republican electoral prospects on the rise, Standard Chartered’s Kendrick sees the dawn of a “crypto summer” approaching. The confluence of a favorable political shift and the enduring allure of digital assets, he argues, could set the stage for a historic bull run in the coming years.
Of course, as with any forward-looking analysis, there are caveats and uncertainties aplenty. The crypto market remains notoriously volatile and susceptible to sudden shifts in sentiment. And even a Republican sweep is no guarantee of a hands-off regulatory approach, as competing priorities and unforeseen events can always intervene.
Nevertheless, for crypto enthusiasts and investors alike, the Standard Chartered report offers a tantalizing glimpse of what could be a defining chapter in the ongoing saga of digital assets. As the 2024 election inches closer, all eyes will be on the intersection of politics and cryptocurrencies, where the seeds of a potential $10 trillion boom may well be taking root.
