A crypto analyst has singled out an occasion that could possibly be the spark that Ethereum must hit the worth stage of $3,500. He believes that the second-largest cryptocurrency by market cap goes to make this run after Bitcoin “gets its shine.”
How Ethereum Will Hit $3,500
In a put up shared on his X (previously Twitter) platform, the CEO and founding father of MN Trading, Michaël van de Poppe, alluded to the Ethereum Spot ETF submitting by Fidelity in his value prediction of $3,500. The crypto analyst appeared to be suggesting that approval of an Ethereum Spot ETF may propel Ethereum’s value to such heights.
His reference to Bitcoin additionally confirms that this may certainly be van de Poppe’s “thesis.” He spoke about Ethereum “running to $3,500 in Q1 2024” after Bitcoin has had its shine. The “shine” seemingly refers back to the potential approval of a Spot Bitcoin ETF. Some analysts have predicted that there’s a 90% likelihood {that a} Spot Bitcoin ETF might be accredited by January 10, 2024.
With this in thoughts, the crypto analyst probably believes that approval of an Ethereum Spot ETF may come not lengthy after as soon as the Spot Bitcoin ETF is accredited. If that occurs, it may spark a large rally in Ethereum’s value. That may clarify why Michaël van de Poppe is predicting Ethereum to run to $3,500.
Several asset managers have already utilized with the Securities and Exchange Commission (SEC) to supply an Ethereum Spot ETF. However, all eyes appear to be on the SEC’s determination on the pending Spot Bitcoin ETF functions. This may merely be as a result of a last determination is anticipated on the pending Spot Bitcoin ETF functions, in contrast to Ethereum’s, which nonetheless have an extended overview course of.
ETH value steadies above $2,000 | Source: ETHUSD on Tradingview.com
Ethereum Spot ETFs May Not Get The Same Reception
Historically talking, there’s motive to consider that Ethereum Spot ETFs won’t get pleasure from the identical reception that Spot Bitcoin ETFs have gotten to date. This relies on the truth that there was a stark comparability within the numbers when the futures ETF of each crypto tokens launched.
Bitcoin futures ETFs have been already in place as of 2021, with ProShares Bitcoin Strategy (BITO) ETF being the primary to launch. Meanwhile, Ethereum futures ETFs simply launched this 12 months. What is most attention-grabbing is the buying and selling quantity that BITO noticed on its launch date compared to all Ethereum futures ETFs on their launch date.
BITO is reported to have seen greater than $1 billion in buying and selling quantity within the first two days of launching. On the opposite hand, the full buying and selling quantity for Ether ETFs on their launch day amounted to simply below $2 million.
Featured picture from Tron Weekly, chart from Tradingview.com