As critical dates approach for Ethereum, market analysts are expecting ETH ETFs to be open for trading on July 4. This approval from the SEC comes after Bitcoin ETFs were also given the green light. Many names in the crypto world are anticipating a rise in the price of Ethereum as a result of this development. Steno Research analysts have even gone as far as predicting a net inflow of $15-20 billion into spot Ethereum ETFs in the first 12 months, with a minimum price target of $6,500 for ETH.
The analysts at Steno Research believe that if the anticipated figures for ETH ETFs are achieved, the Ethereum price could climb to at least $6,500 by the end of the year. They also expect the ETH price to see an increase against both the dollar and Bitcoin. Despite the pessimistic sentiment in the cryptocurrency market regarding spot ETH ETFs, analysts argue that Ethereum has certain characteristics that could appeal to Wall Street investors, potentially leading to significant inflows into the market.
In a report by Stone Research, led by senior analyst Mads Eberhardt, it was stated, “Even accounting for outflows from Grayscale Ethereum Trust (ETHE), we continue to forecast net inflows of $15 billion to $20 billion in the first 12 months. In the face of these inflows, the Ethereum value should increase further against both the dollar and BTC.” The report also highlights that the projected net inflows into spot ETFs, combined with positive market conditions, could drive the ETH price to reach at least $6,500 by the end of the year.
Analysts have also pointed out that while Ethereum ETFs may see smaller inflows compared to Bitcoin ETFs, the impact on ETH could be more significant due to its lower market cap and weaker liquidity compared to BTC. It is important to note that the information provided in this article is not investment advice, and individuals should conduct their own research and consult with financial advisors before making any investment decisions. Despite the potential for significant growth in the Ethereum market, it is essential for investors to consider the associated risks and factors that may impact the price of ETH in the future.
