Ether ETF To Attract $45B Inflow In First Year: Standard Chartered

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As a seasoned crypto investor with a keen interest in market trends and analysis, I find Standard Chartered’s bullish prediction on the approval of Spot Ether ETFs quite intriguing. The potential inflows of approximately $15 billion to $45 billion in the first year after debut are significant and could potentially boost Ethereum’s price trajectory.

As an analyst at Standard Chartered Bank, I have made a confident forecast regarding the SEC’s decision on approving Spot Ethereum Exchange-Traded Funds (ETFs). I firmly believe that we will see the approval of several Ethereum ETFs this week. Furthermore, based on market trends and investor demand, I estimate that these new ETFs could potentially attract approximately $45 billion in assets under management during their first year of operation.

Standard Chartered Bullish On Ether ETF Approval

Based on Geoff Kendrick’s analysis as the Head of FX Research and Digital Assets Research at Standard Chartered, the endorsement of Spot Ethereum Exchange-Traded Funds (ETFs) could potentially draw in 2.39 to 9.15 million Ether within the initial year. In simpler terms, following the approval, Kendrick anticipates that Spot Ethereum ETFs will generate inflows equivalent to between 2.39 and 9.15 million Ether within the first twelve months post-approval.

He underscored the significance of the possible inflow by converting it into US dollars for a clearer understanding. The analyst estimated that it could amount to between $15 billion and $45 billion, based on The Block’s report. It’s crucial to note this forecast’s timing as Ethereum Spot ETF’s first-round application deadlines are imminent.

As a researcher studying the developments in the ETF market, I’ve noted that VanEck’s deadline for Ether ETF approval is on May 23, while Ark 21Shares has set theirs for May 24. The potential approval of these ETFs is highly anticipated and could serve as a significant catalyst for the market, much like what we’ve seen with Bitcoin ETFs in the past. Kendrick made an interesting comparison, suggesting that the inflows into Ether ETFs might follow a similar pattern to those observed with their Bitcoin counterparts.

In his thorough examination, Kendrick pointed out that Standard Chartered’s past predictions aligned well with his team’s estimates regarding bitcoin ETF inflows. He elaborated by stating, “The proportion of market capitalization is on par with our forecasted inflows into Bitcoin ETFs, which have proven to be accurate.” In his comprehensive report, Kendrick anticipated that the approval of Spot Ethereum ETFs would help Ethereum keep up with Bitcoin’s pace. This situation would contribute to maintaining the current 5.4% price disparity between the two assets throughout 2024.

Ethereum Price To $8,000?

Additionally, the analyst provided more insight into the potential impact of Bitcoin’s bullish forecast on Ethereum’s price trend. Based on their optimistic viewpoint towards Bitcoin reaching $150,000 by the end of 2024, they projected that Ethereum could potentially reach a price of $8,000.

As a crypto investor looking to the future, I’m encouraged by Standard Chartered’s bullish perspective that carries on into 2025. Not only did Kendrick maintain their initial assessment, but they also confirmed their previous Bitcoin and Ethereum price targets. The bank expects Bitcoin to reach $200,000 and Ethereum to hit $14,000 by the end of 2025.

As a crypto investor, I’m excited about the potential impact of the Ethereum ETF approval on the price of ETH. Following the lead of Miles Deutscher, a respected crypto analyst, I believe we could see Ethereum soar above $6,400 once the ETF is given the green light. Drawing parallels to Bitcoin’s price surge after its spot ETF was approved, if Ethereum follows a similar trend, it would reach $6,446 by July 23.

Amid increasing enthusiasm, the Ethereum futures open interest has hit a record high of $15.60 billion as per Coinglass data. This represents a 35.12% increase, suggesting heightened activity among derivatives traders. Meanwhile, Ethereum’s price surged 21.83% to $3,766.68 on May 21, 2023.

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2024-05-21 15:54