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- Standard Chartered cut its XRP forecast after a sharp market sell-off.
- The bank lowered targets across major crypto assets.
- Market stress erased gains seen at the start of 2026.
Standard Chartered has reduced its price outlook for XRP after a severe downturn in the crypto market. The bank now expects a much lower value by the end of the year. The change marks a sharp shift from its earlier confidence.
Analysts reacted to falling prices and weakening risk appetite. This is a broader reset in digital assets. The bank cut its end-of-year target for XRP by 65 percent. The bank had previously predicted that XRP would rise to eight dollars by the end of 2026.
The new target is 2.80 dollars. The team cited harsh market conditions and downside risks. February recorded a sell-off in crypto assets worse than in nearly four years. Investors withdrew from markets. Fear replaced optimism.
XRP Downgrade Signals Shift in Crypto Market Sentiment
Bitcoin led the fall. Bitcoin dropped 28% over the past month. The price touched 60,000 dollars before a modest rebound. Other tokens followed the same path. XRP sank to 1.16 dollars during the slide.
It is also trading significantly lower than its previous high. It is now 59% lower than its July high. The rise in price did not reverse the losses. It is now 28% lower in the last month. The downgrade is a significant move for the Ripple-linked asset. Ripple is closely associated with XRP.
It started the year 2026 strongly for the token. It gained 25% in the first week of the year. Demand for exchange traded funds also boosted the price. Regulatory developments also contributed to the rise. Assets held in XRP ETFs hit a record high on the fifth of January. Data from SoSoValue showed that assets held in XRP ETFs hit 1.6 billion dollars in total.
Investor Confidence Weakens After Sharp Decline
Since then, that number has plummeted significantly. As of mid-February, the amount held had declined to over one billion dollars. The drop was as high as 40%. The flow of funds out of the market now exceeded the flow into the market. Confidence in the cryptocurrency market had diminished. XRP was not alone in this situation.
The bank lowered its forecasts for Bitcoin, which is now set at 100,000 dollars instead of 150,000 dollars. It also lowered its forecasts for Ethereum, which is now set at 4,000 instead of 7,000 dollars. It also lowered its forecasts for Solana, which is now set at 135 instead of 250 dollars.
Analysts believe that volatility in the market will continue in the near term. They also believe that in the long term, some of the factors that are in favor of the cryptocurrency market are still in effect. One such factor is stablecoins and real-world assets. XRP and Ethereum will benefit from these factors in due course of time. For now, caution is the word in the
Also Read: Bitcoin Slides to $60K as Tech Stocks Sink, Raising Fresh Store-of-Value Debate
