Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Will the ETH Price Surge Following ETFs Launch? Gemini Outlines the Possibilities

Will the ETH Price Surge Following ETFs Launch? Gemini Outlines the Possibilities

CryptopotatoCryptopotato2024/07/03 18:31
By:Author: Chayanika Deka

New report from Gemini suggests that Ethereum ETFs could attract billions in investments, possible elevating ETH’s market position relative to BTC.

Investors are eagerly awaiting the launch of spot Ethereum ETFs this month. But reports of delays appear to have vexed investors.

But once spot Ethereum ETFs hit the floor, these new products are estimated to attract net inflows of $3-$5 billion within the first six months of trading, according to a recent report published by crypto exchange Gemini.

Ethereum ETFs Poised For Massive Influx

Gemini’s analysis suggests that the introduction of spot Ethereum ETFs in the US could significantly boost total assets under management (AUM). When combining the projected new inflows with the existing assets in the Grayscale Ethereum Trust (ETHE), the total AUM for US-based spot Ethereum ETFs could reach between $13 billion and $15 billion within the first half-year of trading.

The report also pointed out that Ethereum’s market value compared to Bitcoin is currently near its lowest levels in recent years. However, the anticipated influx of capital into these new vehicles could potentially improve its market position relative to Bitcoin.

If the ETH/BTC ratio were to revert to its three-year median of 0.067, it would represent a nearly 20% increase. An even more optimistic scenario, reaching the maximum ratio of 0.087 seen in this period, would translate to a 55% rally.

According to Gemini, inflows below $3 billion in the first six months would be “disappointing,” given that spot Bitcoin ETFs attracted $15 billion in a similar timeframe. Meanwhile, inflows exceeding $5 billion, equivalent to a third of Bitcoin ETF inflows, would be viewed as a strong performance. Reaching close to 50% of Bitcoin ETF inflows, or about $7.5 billion, would be a “significant upside surprise.”

Delays in Spot Ethereum ETF Launch

Currently, eight fund issuers have received 19b-4 approvals on a spot Ethereum ETF and are awaiting final S-1 authorization to list and launch trading for the products. The previous market predictions suggested a 73% chance of these ETFs launching by July 4. However, recent developments have significantly reduced those odds.

The SEC has reportedly requested additional revisions to the applications, causing a delay. Despite this setback, the eventual approval of spot Ethereum ETFs is still anticipated. The timelines have been extended, with fund issuers asked to submit updated applications by July 8.

0

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.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!

You may also like

Fortunate Trader Strikes Gold with TROLL Coin Boom!

In Brief The trader's $23,000 investment in TROLL coalesced into a $2.5 million portfolio. With entertainment in mind, TROLL coin thrives on community interaction. Memecoin gains come with volatility risks, cautioning prudent investment strategies.

Cointurk2025/08/05 13:25
Fortunate Trader Strikes Gold with TROLL Coin Boom!