Category: Crypto · Originally published on Predifi
Key Points
- Bitcoin's price drawdown from $126,000 to $59,000 marks a 53% decline.
- Geoffrey Kendrick, Standard Chartered’s head of digital asset research, declares the end of crypto winter.
- Increased institutional narratives around crypto accumulation are expected.
- Potential regulatory backlash due to increased institutional involvement is an underpriced risk.
In a bold move that has sent ripples through the financial world, Standard Chartered’s head of digital asset research, Geoffrey Kendrick, has officially declared the end of the 'crypto winter.' This proclamation comes after Bitcoin’s price plummeted 53% from its all-time high of $126,000 to a confirmed cycle bottom of $59,000. Kendrick’s note, circulated on Friday, has been widely cited across trading desks and crypto markets, marking one of the first clear cycle-turn calls by a major global bank. This shift in macro outlook for digital assets could signal a new era of institutional adoption and mainstream integration of cryptocurrencies.
The stakes are high. As institutional investors begin to eye cryptocurrencies with renewed interest, the potential for significant market movements increases. This declaration not only validates the resilience of Bitcoin but also sets the stage for a possible surge in institutional investment, which could drive prices even higher and further legitimize digital assets in the eyes of traditional finance.
Standard Chartered’s head of digital asset research, Geoffrey Kendrick, informed clients that Bitcoin’s current cycle bottom has been confirmed at $59,000, following a 53% drawdown from its all-time high of $126,000 reached on October 6, 2025. In a research note circulated on Friday, Kendrick stated, 'the crypto winter is over; spring has arrived,' signaling a shift in the bank’s macro outlook for digital assets. This note is being widely cited across trading desks and crypto markets as one of the first clear cycle-turn calls by a major global bank.
The immediate consequence of this declaration is a reinforcement of institutional narratives around renewed accumulation. Asset managers and corporate treasuries may now be more inclined to allocate funds to cryptocurrencies, driven by the validation from a reputable global banking institution.
The structural driver behind this event is the significant price drawdown of Bitcoin from its all-time high, which has now been officially declared as a cycle bottom by Geoffrey Kendrick. This declaration serves as a signal to the market that the worst is over, encouraging renewed investor confidence. The causal chain begins with Bitcoin’s 53% drawdown to $59,000, followed by Kendrick’s declaration, which then influences institutional narratives and potential allocation decisions.
This is reminiscent of Bitcoin’s previous bull run in 2017, where a similar drawdown was followed by a significant price increase over the next 12 months. However, an underpriced risk in this scenario is the potential for regulatory backlash due to increased institutional involvement in cryptocurrencies. As more traditional financial institutions enter the space, regulators may seek to impose stricter controls, which could dampen market enthusiasm.
The immediate market effect of this declaration will likely be an increase in Bitcoin’s price, followed by large-cap cryptocurrencies. Institutional investors, emboldened by Standard Chartered’s validation, will begin to allocate funds to crypto assets, leading to increased trading volumes and market capitalization. This repricing will first be seen in Bitcoin futures and options markets, where speculative activity is highest.
Cross-asset spillover effects are also expected. As cryptocurrencies gain more mainstream acceptance, traditional asset classes may see shifts in investor sentiment. For instance, gold, often seen as a safe-haven asset, may face increased competition from Bitcoin, potentially leading to a reevaluation of its role in diversified portfolios.
The single most important question remaining is how quickly institutional adoption will ramp up and what impact this will have on Bitcoin’s price and the broader crypto market. Key data releases to watch include institutional investment flows into Bitcoin and large-cap cryptocurrencies, as well as any regulatory announcements that could either support or hinder this trend. The next few months will be critical in determining the sustainability of this newfound optimism.
Prediction markets focused on BTC dominance, ETF flows, and stablecoin regulation will see significant repricing. Traders should watch for on-chain activity metrics and any upcoming regulatory signals as key indicators of market sentiment.
This article was originally published at predifi.com/blog/standard-chartered-end-of-crypto-winter-bitcoin-cycle-bottom-call-2025. Predifi is an on-chain prediction market aggregator built on Hedera. Join the waitlist →
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