A leading international cross-border bank, Standard Chartered, has made a bullish prediction for Ethereum. Analysts from the bank believe that ETH could reach new all-time highs, mainly due to the potential introduction of Spot ETH Exchange Traded Funds (ETFs).
ETH Price Poised to Reach $14,000
Standard Chartered Bank analysts have a positive outlook for ETH, forecasting a significant surge to $14,000 by 2025. They attribute this potential rise to key factors, including the approval of an Ethereum Spot ETF by the United States Securities and Exchange Commission (SEC).
If the SEC approves Spot Ethereum ETFs, analysts anticipate ETH reaching $8,000 by the end of 2024 and $14,000 by 2025. The bank is optimistic about the ETF approval, expecting authorization by May 2024.
Additionally, Standard Chartered highlights Ethereum’s recent DenCun upgrade as another factor that could drive the price of ETH to $14,000. Geoffrey Kendrick, the bank’s Head of Forex and Crypto Research, foresees increased demand for the cryptocurrency, citing reduced transaction costs and blockchain improvements from the upgrade as key growth drivers.
Ethereum Spot ETFs Expected to Attract $45 Billion
Geoffrey Kendrick also suggests that Spot Ethereum ETFs could bring in a substantial $45 billion in market inflows. Despite some skepticism around the SEC’s approval timeline, Kendrick remains positive, envisioning approval for these investment assets by the specified deadline in May 2024.
He estimates potential inflows of $15 billion to $45 billion within the first year of Spot ETH ETF approval. Kendrick applies a similar methodology in analyzing potential Spot Bitcoin ETF inflows, drawing parallels with Bitcoin’s price trajectory post-ETF approval.
Just as the Spot Bitcoin ETF market saw significant capital inflows after SEC approval, a similar scenario could unfold for Ethereum if its ETF gets the green light. This could drive ETH to new all-time highs as investor interest and capital flow into the cryptocurrency increase.
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