Ether's Price Anticipated to Reach $4,500 Before Spot ETFs Approval, Predicts DeFiance Capital's CEO
Summary:
DeFiance Capital's CEO, Arthur Cheong, predicts Ether's price could hit $4,500 before the approval of the first spot Ether ETFs. This forecast comes after the SEC approved applications for eight Ether ETF providers, such as VanEck, BlackRock, and Fidelity. If this projection turns out accurate, Ether's price would increase more than 15% from its current level. While significant resistance is expected at the $4,000 and $4,100 marks, Approval for the ETFs could potentially drive Ether's price to reach $10,000 by the end of 2024, according to Nexo's head of prime brokerage.
According to DeFiance Capital's CEO and founder, Arthur Cheong, Ether's price might surge to $4,500 before the formal sanction of the inaugural spot Ether exchange-traded funds (ETFs). He communicated his opinion via a May 26 post to his extensive follower base of 167,000, saying that he anticipates Ether's climb to hit $4,500 before the commencement of spot ETF trading. At the time of scrutiny, ETH was changing hands at $3,903, showing an upsurge of 2.57% in the previous 24 hours. If Cheong's projection is accurate, Ether's price would bounce more than 15% from its present level to touch $4,500, as per CoinMarketCap data.
This forecast follows the recent announcement that the US Securities and Exchange Commission (SEC) has authenticated the 19b-4 applications for eight Ether ETF providers on May 23. This validation means they are permitted to list and trade on their respective platforms. VanEck, BlackRock, Fidelity, Grayscale, Franklin Templeton, ARK 21Shares, Invesco Galaxy, and Bitwise all have ETFs in the approved batch.
James Seyffart, a Bloomberg ETF expert, clarified that while clearing of the 19b-4 filings is a promising action by the US securities regulatory body, ETF providers also require clearance for their S-1 applications, a process that can take several weeks or even months.
In terms of Ether's price progression, there has been a strong upswing following the news surrounding spot Ether ETFs. A push to $4,500 could be within reach given further constructive developments. This would place Ether's price only an 8% short of its record high of $4,891 achieved on Nov. 16, 2021. However, Ether meets solid resistance at the benchmarks of $4,000 and $4,100. If it can hurdle over $4,100, more than $500 million of cumulative leveraged short positions across all exchanges would be cleared out, as indicated by CoinGlass statistics.
Andrey Stoychev, Nexo's primary brokerage head, believes that the greenlighting of the ETF could be Ether's most influential price trigger in the current bullish phase, possibly driving the price to reach $10,000 by the end of 2024, thereby matching up with Bitcoin's post-ETF performance.
Published At
5/27/2024 2:45:08 PM
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