After enduring a low phase at the end of 2022, Ethereum‘s value has witnessed a significant recovery. In the current year, it has bounced back, reaching the $3,400 mark. Amid this resurgence, speculation about Ethereum-based Exchange Traded Funds (ETFs) has stirred the market. Market analyst Jim Cramer, with a reputation for taking a contrarian stance in the cryptocurrency space, has weighed in on the potential impact of ETH ETFs.
Ethereum ETFs Gain Prominent Support
During a recent surge that saw Ethereum’s price increase by 16%, Cramer drew parallels between Ethereum’s ascent and the previous success of the Bitcoin ETF. He expressed confidence that Ethereum ETFs would soon see comparable success. This sentiment was echoed by Coinbase, which has thrown its full support behind the idea of a spot Ethereum ETF. In an official appeal to the Securities and Exchange Commission (SEC), Coinbase advocated for the Grayscale Ethereum Trust’s listing on the NYSE Arca platform.
Major Players Advocate for Ethereum ETFs
Coinbase’s backing came with a detailed review submitted to the SEC, where they highlighted the market depth and resilience of Ethereum against fraud and manipulation. In parallel, heavyweight financial institutions like Fidelity and BlackRock have also been proactive, submitting applications to initiate Ethereum ETFs. The overall atmosphere is one of growing optimism, with Standard Chartered projecting Ethereum’s price to hit $4,000 by May, contingent on SEC’s nod.
This buoyant outlook for Ethereum ETFs is shared by industry leaders such as Grayscale’s Sonneshein, who anticipates significant developments in the sector by 2024. ETF specialist James Seyffart, known for his engagement in the spot Bitcoin ETF, also foresees the approval of an ETH ETF within the year. As these developments unfold, Ethereum’s price has continued its upward trajectory, inching towards its all-time high with a 1.37% increase over the past day.
With industry experts and major exchanges pushing for the introduction of Ethereum ETFs, the cryptocurrency community is brimming with anticipation. This enthusiasm is likely to bolster Ethereum’s standing in the market even further, potentially paving the way for more mainstream acceptance.