Geoffrey Kendrick, the Global Head of Digital Assets Research at Standard Chartered, informed clients in a note on Thursday, June 4, 2026, that the recent Bitcoin sell-off is nearing its bottom. Despite a sharp 14% price drop over the last seven days, Kendrick believes the current price range represents a calculated “buying zone.”
The assessment follows a week of intense volatility where Bitcoin traded around $63,739 on Wednesday, June 3, after touching a session low near $61,463.
The market tremor was largely sparked by a Monday SEC filing revealing that Strategy (formerly MicroStrategy) sold 32 Bitcoin between May 26 and May 31. While the sale generated just $2.5 million at an average price of $77,135 per coin, it represented the firm’s first net reduction of its holdings in years.
Strategy executed the trade to meet dividend obligations for its STRC preferred shares, which carry an 11.5% annual variable dividend.
Financial analysts at Standard Chartered maintains a bullish outlook, with Kendrick reaffirming a year-end price target of $100,000 for the leading cryptocurrency. He noted that while this week has been “painful,” the current setup is a prime entry point for investors. Bitcoin is currently trading roughly 51% below its all-time high of $126,277, which was set in October 2025.
Strategy buyback potential and historical market signals
The decision by Strategy to offload a portion of its 843,706 BTC treasury rattled investor confidence, briefly pushing prices below the $72,000 mark. This selling pressure coincided with rising liquidations and macro warning signs that have cooled risk appetite. However, Kendrick described the quantity sold as “ridiculously small” and expects the firm to reverse course quickly.
History provides a precedent for this optimistic outlook. In December 2022, Strategy sold 704 BTC for tax purposes but purchased 810 BTC just two days later. Kendrick told clients he expects a repeat of this pattern, suggesting a potential buyback of up to 100 times the amount sold.
A confirmed purchase by Strategy as early as next Monday would serve as a “tentative signal” that the floor is established.
Such a move could restore stability to a market that has seen $1.5 billion in Bitcoin futures liquidated by exchanges. Kendrick argues that because these leveraged long positions have already been flushed out, the risk of further forced selling is significantly diminished. He contends that the market has already factored in the “naysayer thesis” provoked by the recent corporate sale.
Structural strength of spot Bitcoin ETF holdings
Despite the recent price drop, US-listed spot Bitcoin ETFs have shown a level of structural resilience that Kendrick admits was greater than he feared earlier this year. Cumulative net inflows since their early 2024 inception remain steady at $54.2 billion. While total Bitcoin held by the 11 funds has dipped to 674,000 BTC from a peak of 682,000, the baseline remains firm.
This stability persists despite a 13-day streak of net outflows, the longest such run for these products. Withdrawals total approximately $3.45 billion over that stretch, including $1.42 billion in the week ending May 29 alone. Institutional appetite has remained relatively flat since February, suggesting that despite ongoing institutional outflows across the broader sector, the foundational core of ETF holders is not capitulating.
The persistence of these holdings suggests that the current sell-off is driven more by temporary geopolitical tension and “higher-for-longer” interest rates than a fundamental rejection of the asset. Standard Chartered views these external pressures as secondary to the strong internal metrics of the digital asset market, which favor a recovery as the year progresses.
Ethereum outperformance and the shifting crypto landscape
Beyond Bitcoin, Standard Chartered is also forecasting a shift in market dominance toward Ethereum. Kendrick expects Ethereum to reach $4,000 by the end of 2026. He noted that the ETH/BTC ratio, currently at 0.028, is expected to climb to 0.040. Ethereum traded around $1,755 on Thursday, representing a 26% decline over the past month.
The bank’s research department identified this week as the potential starting point for Ethereum to begin outperforming Bitcoin. While the broader market has been pressured by a reduced risk appetite, the structural strength of Ethereum and its ecosystem remains a key pillar of the bank’s long-term prediction. Both assets are expected to recover as the current “buying zone” transitions into a new growth phase.
Ultimately, the call for a Bitcoin bottom rests on the intersection of corporate buybacks and the end of leverage-driven liquidations. If the predicted signals from institutional players materialise early next week, the current dip may be remembered as the final hurdle before the drive toward the $100,000 milestone.