The anticipation within the cryptocurrency market, especially among altcoin investors, is high with expectations of an imminent approval for a spot Bitcoin ETF in the United States. Ethereum (ETH), known as the king of altcoins, is also under the spotlight with predictions of a significant surge. Notably, renowned crypto analyst Pentoshi forecasts Ethereum to potentially reach $3,400, contributing to the heightened expectations.
Pentoshi, known for accurate predictions, has announced an expectation of Ethereum reaching $3,400 in the short to medium term. The primary force behind this anticipation is the potential approval of a spot Ethereum Exchange-Traded Fund (ETF) in the U.S. next year.
Earlier this year, major asset management players, including Ark Invest and 21Shares, applied to the U.S. Securities and Exchange Commission (SEC) for a spot-based Ethereum ETF. If the SEC approves any of these ETFs, an increase in institutional demand and capital inflow for ETH is expected, boosting the altcoin’s prospects.
Pentoshi previously made headlines with a prediction of a significant rise in Bitcoin’s price due to a spot Bitcoin ETF when it was trading between $25,000 and $28,000. This prediction held as Bitcoin’s price soared above $44,000. The analyst now anticipates a similar surge for Ethereum if a spot ETF is approved.
As the decision date for the ETF by the SEC approaches, analysts observe that investors are inclined to hold onto their ETH, while others feel compelled to enter the market, potentially leading to upward price pressure. Pentoshi identifies $2,700 and $3,400 as potential price targets for the altcoin king. At the time of writing, Ethereum is trading at $2,285.
Currently, the crypto market awaits the U.S. regulator’s decision on spot Ethereum ETFs. An approval from the SEC is expected to play a crucial role in determining ETH’s short and medium-term price trajectory. Market analysts and experts are closely monitoring the developments in the ETF approval process, while the crypto community remains divided over the potential impact of such regulatory decisions. Some believe that an ETF approval could be a real catalyst for Ethereum’s price and open new avenues for institutional investors, while others caution about the unpredictability of the asset’s price and the possibility of a downturn contrary to bullish expectations.