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Analyst Predicts Ethereum Price Boost from ETF, Surpassing Bitcoin's Performance

Ethereum outpaces Bitcoin, ETF approval could further boost price. Photo: EconoTimes

With Ethereum outpacing Bitcoin in recent months, analysts forecast a substantial boost in Ethereum's price from a pending ETF, which is expected to attract large monthly inflows.

Pending ETF Expected to Amplify Ethereum's Market Dominance

The creation of an Ethereum exchange-traded fund (ETF) is expected to boost Ethereum's value in the coming days, adding to its superior performance compared to Bitcoin over the past two months.

As a result, Ethereum is anticipated to gain ground versus Bitcoin, particularly if the Bitcoin weekly chart displays a negative divergence.

Analysts Predict Substantial Inflows with ETF Approval

According to Coingape, with the green light for an Ethereum ETF, the price of ETH is sure to skyrocket, which might lead to an influx of new investors' money.

Expert Michael Van de Pope predicts that this is why Ethereum's price will keep rising above Bitcoin's trend. According to K33's findings, these influxes might account for 0.75-1% of Ethereum's circulating supply over the course of five months.

Institutional Investors Eyeing Ethereum

According to the expert, patient traders can benefit from the present ETH/BTC pricing. As more and more institutional investors enter the market, the ETF launch is anticipated to solidify ETH's position and increase its price.

However, the impending ETF is a watershed moment that might turn the market's attention away from Ethereum. Even though investors anticipate that Ethereum would perform better following the creation of the ETF, the market has priced Ethereum futures lower than Bitcoin futures.

Potential Downtrend for Bitcoin

As the creditors of the famous crypto exchange Mt. Gox receive $8.5 billion worth of BTC, the price of Bitcoin is expected to fall. If there was a massive injection of Bitcoin into the market, its price might fall.

The prior story of Ethereum outperforming Bitcoin has not materialized as expected, though, as analyst Benjamin Cowen pointed out.

The change from proof-of-work to proof-of-stake, among other events, has not significantly affected the ETH/BTC pair, claims Cowen. Drawing comparisons to past market movements, he is still pessimistic about the spot ETF for ETH's ability to maintain a high ETH/Bitcoin valuation.

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