ETH Price After ETF Confirmation: Eyes $6000 As Institutional Investors Accumulate $1.95 Billion
The recent US Securities and Exchange Commission (SEC) approval of Ethereum (ETH) spot exchange-traded funds (ETFs) has boosted the value of the cryptocurrency.
This bearish trend was fueled by the expectation of higher returns to the newly approved ETFs, as well as increased accumulation by both institutional and retail investors.
TLDR
Ethereum (ETH) price rose above $3,850, raising hopes of a breakout trend following the approval of ETH spot ETFs by the US Securities and Exchange Commission (SEC). The top 1,000 Ethereum wallets have accumulated 510,000 ETH worth approximately $1.95 billion in the 5 days since the ETF was approved. Analysts predict that ETH could reach $4,500 or $6,000 in the coming months, which could mimic Bitcoin's 70% price increase after the BTC spot ETF is approved. The total value of decentralized finance (DeFi) locked has returned to its highest level in two years at $117 billion, 60% of which is locked on the Ethereum network. Retail investors are also hoarding ETH, although network growth has slowed, suggesting new users are hesitant to buy at current prices.
According to data from Santiment, the Ethereum wallet has accumulated a peak value of 510,000 ETH in 5 days.
This high investment flow has led analysts to predict further price increases, with some suggesting that ETH could reach $4,500 or even $6,000 in the coming months.
The potential for such high growth is unprecedented; When Bitcoin (BTC) spot ETFs were approved in the United States, the price of the cryptocurrency rose more than 70% in two months.
If Ethereum follows a similar trajectory, it could reach a new all-time high near $6,000 by the end of July 2024.
The impact of the approval of the ETH Spot ETF is not limited to the price of the cryptocurrency.
. Decentralized Finance (DeFi) Total Value Locked (TVL) also returned to its highest level in two years, reaching $117 billion, with 60% of its value locked on the Ethereum network.
Ethereum's layer-2 network is nearing its peak in TVL, currently sitting at around $47 billion.
While institutional investors led the charge in ETH holdings, retail investors also showed strong interest in the cryptocurrency.
