Cryptocurrency market is experiencing excitement over spot Ethereum ETFs similar to Bitcoin ETFs in January. The first round of approval dates for VanEck on May 23 and Ark Invest/21Shares on May 24 is rapidly approaching. As this date nears, major bank Standard Chartered announced it expects the US Securities and Exchange Commission to approve Ether ETFs this week.
What Does the Bank Expect If Approval Comes?
Standard Chartered Bank FX Research and Digital Assets Research Head Geoff Kendrick said, “Post-approval, we expect spot Ethereum ETFs to attract 2.39-9.15 million Ethereum in the first 12 months. This translates to approximately 15 billion to 45 billion dollars.”
Kendrick also stated, “This is similar to our estimates for Bitcoin ETFs in terms of market value ratio. Our approach shows our predictions are accurate.”
Year-End Target for Ethereum is $8,000
Kendrick indicated that if spot Ethereum ETFs are approved this week, the cryptocurrency Ethereum could keep up with Bitcoin and maintain the current 5.4% price increase throughout 2024. Kendrick said, “Considering Bitcoin will reach $150,000 by the end of 2024, this means Ethereum will rise to $8,000.”
The analyst also highlighted that Standard Chartered predicts Bitcoin will reach $200,000 by the end of 2025, which would mean Ethereum would rise to $14,000. This forecast reiterates the bank’s price target for Ethereum set in March.
SEC Requested Amended Filings
SEC indicated potential progress in the approval process by requesting updated 19b-4 filings for spot ETH ETFs by this week’s deadlines. However, approval is not guaranteed. Fidelity submitted the filing as requested by the SEC today.
Bloomberg ETF analysts James Seyffart and Eric Balchunas noted that the likelihood of the SEC approving such a product has increased from 25% to 75%. The price of Ethereum, the leader of altcoins in the cryptocurrency world, rose over 21% in the last 24 hours to $3,719.
