Ethereum ETF can rake in hundreds of millions per month
Ethereum has been doing well for a while now. The American stock exchange regulator (SEC) has given permission for so-called Ethereum ETFs. This seems like it could be a big step forward for the price, just as happened previously with Bitcoin ETFs.
Hundreds of millions expected
Analysts predict that the launch of Ethereum ETFs could lead to huge investments. Researcher Bobby Banzai expects a monthly inflow of up to 500 million euros. He bases this on international ETF values and data on futures contracts.
The success of Bitcoin ETFs is encouraging companies to promote Ethereum ETFs. As with Bitcoin, analysts expect that aggressive marketing could lead to large investments. Estimates range from 1 billion to 3 billion euros in 2024.
“With Bitcoin flows reaching $13.6 billion on May 27 after 137 trading days, the implied amount of monthly ETH ETF flows is $569 million,” says Bobby. That amounts to 500 million euros.
Ethereum without interest
Some experts expect the Ethereum ETF to have a slow start. Unlike owning Ethereum itself, ETFs do not pay interest. This could make Ethereum ETFs less attractive.
Do you have Ethereum and BLOX? Then you get a return on this every week. At least, if you do lending starter in the app.
But even without interest, there is plenty to be positive about. There is always something bright about the future of Ethereum. Consider the usability for payments, smart contracts and decentralized applications (DApps) provides growth potential. Experts therefore see the approval of ETFs as an important development.
The expectations surrounding Ethereum ETFs already seem to be having an effect. The price of Ethereum has risen by 33% since mid-May and now stands at around 3,450 euros. With higher demand for Ethereum from the ETFs, the price could skyrocket even further.
