Standard Chartered Bank made a daring prediction across the approval of Spot Ether ETFs. A Standard Chartered analyst believes that the U.S. Securities and Exchange Commission (SEC) will approve a collection of Ethereum ETFs this week. Moreover, he expects these ETFs to attract an inflow of a whopping $45 billion within the first yr after debut.
Standard Chartered Bullish On Ether ETF Approval
According to Geoff Kendrick, Head of FX Research and Digital Assets Research at Standard Chartered, the approval of Spot Ether ETFs might result in inflows starting from 2.39 million to 9.15 million Ether within the first yr. “After approval, we estimate that Spot ETFs will drive inflows of 2.39-9.15 million Ether in the first 12 months after approval,” Kendrick said.
He additional emphasised the magnitude of this potential inflow by translating it into U.S. greenback phrases. The analyst steered that it might equate to roughly $15 billion to $45 billion, in response to The Block. The timing of this forecast is vital as the primary spherical of Spot Ethereum ETF deadlines is quick approaching.
VanEck’s deadline is about for May 23, adopted by Ark 21Shares’ on May 24. Moreover, the approval of those ETFs is seen as a possible catalyst for the market, mirroring the impression noticed with Bitcoin ETFs. Kendrick drew parallels between the anticipated inflows into Ether ETFs and people noticed with Bitcoin ETFs.
He famous the accuracy of Standard Chartered’s earlier estimates. “As a percentage of market cap, it is similar to our estimates of inflows to bitcoin ETFs, which are proving accurate,” he defined. In an in depth evaluation observe, Kendrick projected that the approval of Spot Ether ETFs might allow Ethereum to take care of tempo with Bitcoin. This would assist in holding the present 5.4% value ratio steady all through 2024.
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Ethereum Price To $8,000?
Moreover, the analyst additional elaborated on the implications of this projection for the Ethereum value trajectory, given their bullish outlook on bitcoin. “Given that we now see bitcoin reaching the $150,000 level by end-2024, this would imply a level of $8,000 for Ether,” Kendrick predicted.
Looking additional forward, Standard Chartered’s optimistic outlook extends into 2025. In addition, Kendrick reiterated the financial institution’s earlier value goal for ETH, aligning it with their forecast for Bitcoin. The BTC goal is about at $200,000 whereas ETH value goal is pegged at $14,000 by the tip of 2025.
Furthermore, Miles Deutscher, a crypto analyst, echoed the same sentiment and provided a bullish outlook for ETH. The analyst expects the Ethereum value to shoot above $6,400 after the ETF approval. He took to X and wrote, “$BTC rallied 75% in 63 days after the spot ETF was approved. If $ETH follows the same trend (if approved), this would take it to $6,446 by July 23.”
Amid the rising optimism, the Ethereum futures open curiosity has reached an all-time excessive. According to Coinglass knowledge, the ETH open curiosity has soared 35.12% to $15.60 billion, indicating a surge in curiosity amongst derivatives merchants. At press time, the Ethereum price rallied 21.83% to $3,766.68 on Tuesday, May 21.
Also Read: Ethereum (ETH) Price Targets $4,000 As Odds of Spot Ether ETF Improve
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