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20 May 2024
Analysts from Bernstein predicted that the price of Ethereum could rise to $6600 if an ETF based on this asset is approved.

Bernstein analysts Gautam Chhugani and Manika Sapra stated in their forecast published on DL News that the approval of spot exchange-traded funds based on Ethereum by the US Securities and Exchange Commission (SEC) would lead to a 75% increase in the price of this cryptocurrency, reaching $6600.

In their opinion, the approval of spot Bitcoin ETFs in January caused the price of Bitcoin to rise by 75%. They expect a similar effect for Ethereum, the second-largest cryptocurrency by market capitalization.

Mike Novogratz, CEO of Galaxy Digital, noted that if such significant changes were politically motivated, it would mean a “seismic shift.” In his view, cryptocurrency prices will be much higher than current levels.

Matt Hougan, Chief Investment Officer of Bitwise, emphasized that digital assets are becoming increasingly mainstream, which will push them to new all-time highs. However, he added that the current growth is not solely due to sudden optimism regarding ETH ETFs.

On May 20, media reported that the SEC had asked potential issuers to update Form 19b-4 in their applications for launching an ETF. The deadline for requests from VanEck and Grayscale is set for May 23.

After news of the SEC request, several industry experts predicted increased volatility in Ethereum amid expectations for the ETF.

Daniel Yan, co-founder of Matrixport, noted that if spot ETH ETFs are approved, the next cryptocurrency contender for launching such an instrument could be Solana.