Ether price nears $4,000 as market awaits Ethereum ETFs going live
The price of ether has continued to rise ahead of the pending Ethereum ETF launches.The coin is up 35% in just two weeks.
The price of ether is rallying toward the $4,000 mark just days after eight Ethereum ETH +2.39% exchange-traded funds (ETFs) were approved and ahead of their pending launches.
Ether has risen to its current value of $3,932, up around 3.4% over the last 24 hours, and up 35% over the last fortnite, according to The Block's Price Page . It was last above the $4,000 mark in March.
The price action may have stemmed from former President and current 2024 leading Republican candidate Donald Trump's pro-crypto comments over the weekend, according to crypto market-making firm QCP Capital.
Trump voiced his clearest support of crypto yet in a post on Truth Social that he shared shortly before his scheduled appearance at the Libertarian National Convention. "I am very positive and open minded to cryptocurrency companies, and all things related to this new and burgeoning industry," he wrote.
The price of ether has rallied over the weekend. Image: The Block's Price Page.
But the ETF approvals were clearly also in play.
"From today's price action, it seems that market participants are expressing their bullishness in ETH rather than BTC, especially with the potential institutional demand once the ETH spot ETF starts trading," said QCP Capital in its regular market update.
"While we are structurally positive ETH, we don't see a major breakout until we have more clarity on the S-1 approvals and get some inflow data, which should only be a matter of time," the company added.
Preparing for the Ethereum ETFs
Crypto traders have also expressed that the gap between the Ethereum ETF approvals and when they might start trading — which could take from weeks to months — is surprisingly positive for the cryptocurrency.
eToro analyst Simon Peters said, “With the 19b-4s out of the way, it could be an opportunity now for savvy crypto investors to buy Ethereum in anticipation of the S-1s being approved, front-running the ETFs going live and the billions of dollars potentially flowing into these.”
As for the amount of expected inflows, traders are anticipating that it might be in the region of 15-30% of what the Bitcoin ETFs saw. While the approvals came at a surprise and issuers weren't particularly ready, the delay also allows any potential inflows to get lined up too.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Elon Musk sleeps at construction site! Going all out for AI infrastructure
AI investment frenzy ready for another surge? With the Fed rate hike decision settled, reverse buying appears as US Treasury bonds face their "most painful moment"
Bob Michele from JPMorgan Asset Management stated that his team has started buying long-term bonds from the United States, Japan, and Australia, saying that current prices are "simply too cheap." Michele believes that a series of central bank actions and potential stabilization trends in the Middle East are key driving factors supporting the debt market.
"The New Bond King": The moment of reckoning is inevitable; a fully defensive stance should be adopted in the next 6 to 9 months
Gundlach believes the market has entered a "difficult phase." The excessive expansion of AI capital expenditures intertwined with the rapidly growing private credit market is bound to lead to a reckoning; credit spreads related to AI have already widened significantly, and the complex risk exposures between private credit and the insurance industry will trigger severe consequences in the next downturn. He has reduced his portfolio's AI exposure to zero and shifted toward equal-weight equities, high-quality bonds, local currency emerging market debt, and gold commodities.
Crypto prices
More
