Where Is Ethereum's Price Headed 5 Days After The ETF Approval?

Zinger Key Points
  • Bitcoin spot ETFs saw a $252 million net inflow on May 24, marking ten consecutive days of inflows.
  • Institutional demand and regulatory clarity are key factors driving Ethereum's potential breakout post-S-1 approval.

Ethereum ETH/USD is on the cusp of a major price surge, according to analysts at QCP Capital.

What Happened: This bullish outlook comes after a price increase from $3,810 to $3,940 during the Tuesday Asian trading session, possibly fueled by former US President Donald Trump‘s pro-cryptocurrency comments.

The positive sentiment surrounding ETH extends beyond Trump’s remarks.

QCP Capital further stated that movement of Bitcoin BTC/USD from a Mt. Gox cold wallet on Tuesday morning triggered a sell-off below $68,000, but these bouts of supply anxiety are likely to be blips in a broader trend higher into the end of the year.

The research firm highlighted three reasons for Bitcoin’s bullish move over the next few days:

  • Stronger equity markets led by counters like Nvidia should pull crypto prices higher as well.
  • Crypto is seeing unprecedented political support in the United States, such as with the FIT21 “crypto bill” and the unexpected positive turn by the SEC on the spot Ethereum ETF.
  • The research firm expects strong demand for spot Ethereum ETFs after trading launches, with fresh capital influx into the sector.

Institutional Demand And Market Dynamics

Still, while ETH's structural outlook remains positive, a major breakout is unlikely until there is more clarity on the S-1 approvals and inflow data, QCP Capital writes.

Until then, ETH's front-end volatility could remain 15-20 points above BTC, with ETH skew favoring Calls.

DeFiance Capital founder Arthur forecasts that Ethereum could reach $4,500 before the spot ETF trading goes live. Additionally, a survey by WuBlockchain in the Chinese community revealed that 58% of respondents believe ETH could rise to $10,000 or higher in this cycle.

QCP Asia suggests that $3,000 remains a strong support level for ETH, with opportunities to earn 37% annualized returns weekly through Conditional Fixed Coupon Convertibles (CFCC) provided Ethereum stays above this level.

Also Read: Top Trader’s Ethereum Price Prediction Targets All-Time Highs In 2025

Broader Market Context

The broader crypto market is also showed signs of health, with Bitcoin spot ETFs seeing a total net inflow of $252 million on May 24, marking ten consecutive days of inflows.

BlackRock’s iShares Bitcoin Trust IBIT had a significant inflow of $182 million, while Fidelity's Fidelity Wise Origin Bitcoin Fund  FBTC recorded an inflow of $43.7083 million, according to data from SoSo Value.

Meanwhile, Nate Geraci, president of ETF Store, said that no one can be sure when the SEC will approve the spot Ethereum ETF registration statement, expected to to take between a few weeks and up to three months.

It is just a matter of “how long SEC wants to string this out,” Geraci wrote.

Former SEC Chairman Jay Clayton predicted trading could begin in July or August.

Looking Ahead

As the market awaits further regulatory clarity and S-1 approvals, ETH's potential for a major breakout remains contingent on these developments. For more in-depth analysis and insights into the evolving digital asset landscape, industry leaders and investors are encouraged to attend Benzinga’s Future of Digital Assets event on Nov. 19.

This event promises to provide comprehensive coverage of current trends and future directions in the digital asset market.

Read Next: SOL Down 3% As FTX Bankruptcy Estate Concludes Solana Token Sales

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