Spot Ethereum ETFs, which have been trading for less than 24 hours on the stock market, already exceed $1 billion. Ethereum ETFs are off to a great start, similar to Bitcoin ETFs in the January first trading day. Some analysts believe that it is only the beginning, and the ETFs remain undervalued. This could mean that an ETH flood is on its way.
The ETFs achieved a trading volume of $120 Million in just 15 minutes. Ethereum’s price has not yet reached the projected heights after the launch. Ethereum was trading at $3,478.30 as of press time. This is only a slight increase of 1% in the last 24 hours. Bitcoin started off with a campaign similar to that of its ETF, in which the ETFs traded well but did not see a dramatic increase in price. Bitcoin took several weeks to begin to rise, and another month to hit its all-time peak. Ethereum could mock this BTC model, and August may be the time when Ether dominates ETFs.
Before the introduction of Ethereum ETFs, analysts were more optimistic than ever about ETH in Q4 2024. The first day trading activity is even more encouraging for this asset. On the Ethereum price chart, there’s a level of resistance that must be broken to ignite the rise in the asset price. This may take several days as it did for BTC. Ether will start to increase in price once the resistance level above $3.730 has been breached.
What is the potential for Ethereum to rise following ETF launch?
Also Read: Ethereum ETFs Officially Begin Trading in the US
Many traders are watching Ethereum. It has risen to $4,000 since the launch of ETH ETF. The trading volume is up 110% a day ahead of its release. The trading volume for this asset has reached $1 billion in just one day.
Research firm specializing in crypto-analytical research ASXN Predicted that Ethereum spot ETFs would generate monthly inflows up to $1,2 billion. The forecast was based on Grayscale’s fee changes. It restructured the product and reduced its original 0.25% charge to just 0.15%. It is expected that the move would increase demand for this product. Ether is a great asset for bullish traders. If they are able to hold on during the initial weeks of ETF trade, it’s almost impossible not to make significant profits.
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Source: watcher.guru