Ethereum Bull Run Coming Soon Following ETF Approvals: Analysts

Ethereum may soon rocket upward following the Securities and Exchange Commission's bombshell move to approve. spot Ethereum exchange-traded funds (ETFs) last week, market analysts say.

After months of delays and limited participation, Wall Street's top regulator gave the green light Long list Asset managers applying to offer Ethereum ETFs.

Industry observers now foresee the second largest digital coin to increase in value even further.

Although there has been some downward pressure on the ETH price due to the expected outflow from the nearly five-year-old Grayscale Ethereum Trust (ETHE), data company Kaiko he said. Monday that property prices will rise more than in a long time.

Kaiko said he came to the conclusion by looking at what happened to Bitcoin ETFs following theirs Approval In January: Investors who invested immediately into the Grayscale GBTC product He wanted to spend moneyBecause they couldn't do it before. This caused the price of Bitcoin to drop in a short period of time.

“Once the ETH ETF launches, it's reasonable to expect potential outflows or redemptions to put pressure on ETH due to Greyscale's ETHE, which has been trading at a discount of between 6% and 26% over the past three months,” the firm said.

“Overall, while short-term inflows are disappointing, the approval has important implications for ETH as an asset, removing some of the regulatory uncertainty that weighed on ETH's performance last year,” the firm added.

said Greg Magadini, Director of Derivatives at blockchain data provider Amberdata. Decrypt While it is unclear when the actual ETF will launch, there is definitely a “bull run here” on this news.

JPMorgan, America's largest bank, said on Friday that it expects the fund to start trading before November.

When it comes to the market, Ethereum ETFs – like Bitcoin funds – offer investors exposure ETHThe second largest digital coin by market capitalization, shares traded on a stock exchange.

Wall Street's biggest regulator has been slow to respond to petitioners and has pushed back decision deadlines. Analysts like Bloomberg and CoinShares he said. Such cryptocurrencies will not get the green light by the May deadline.

But last week, things have changed He spun That the regulator would say yes to the proposed products. Days later, He did– without a press release or comment, but b Great joy The crypto community.

of The price of ETH As a result, it went up. It hit $3,968 on Monday, up more than 30% over the past two weeks, according to CoinGecko.

ETH still needs to climb more than 20% to surpass the 2021 all-time high of $4,878.

Edited by Ryan Ozawa.