Nancy Lubale6 hours agoCrypto traders say Ethereum ‘undervalued,’ expect spot ETH ETF to fuel new highsEther’s price has a muted response to today’s spot ETH ETF launch, but traders still expect Ether to hit new highs soon.2948 Total views17 Total sharesListen to article 0:00Market UpdateOwn this piece of crypto historyCollect this article as NFTJoin us on social networksAnalysts believe Ether’s price could rally to all-time highs over the next couple of months following the launch of the first-ever spot Ether exchange-traded funds (ETFs) in the United States. Traders believe these funds are “heavily undervalued.”
The spot Ether (ETH) ETFs started trading on July 23, a day after the US Securities and Exchange Commission gave the final approval to issuers, including BlackRock, Fidelity, 21Shares, Bitwise, Franklin Templeton, VanEck and Invesco Galaxy.
Within just 15 minutes of trading, the ETFs recorded an impressive volume of $120 million.ETH/USD 1-hour chart. Source:TradingView
“The ETH ETF has insane numbers. First 15 minutes already 50% of Bitcoin’s first day in terms of volume: $112 million,” Michaël van de Poppe, founder and CEO of trading firm MNTrading, wrote in his own X response.“The Ethereum ETF launch is heavily undervalued, and I expect it to trade towards an ATH in the coming 1–2 months.”
Meanwhile, fellow trader Daan Crypto Trades described the initial flows as “decent,” predicting heightened crypto market volatility.“Going to be a volatile day ahead with lots of movement, I’m assuming!”
In an earlier post, Daan Crypto Trades shared the chart below showing the key levels ETH’s price needed to clear in its recovery path.
According to their analysis, Ether bulls needed to overcome resistance from a stubborn supply zone stretching from $2,672 to $3,730 to secure the uptrend. This was also dependent on holding firmly above $3,350.“ETH Levels are clear. Needs to hold $3350 and it would look strong. Expecting a lot of movement these days surrounding the ETF launch.”ETH/USD four-hour chart. Source:Daan Crypto Trades
“ETH’s price hits $3,450 as investors buckle up for a wild ride,” declared crypto investor Alessa Mutto in a July 23 post on X, adding, “I’m very bullish about crypto and ETFs and believe they will go parabolic in the next few years.”
However, Mutto admitted that, with time, spot Ether inflows will tell where Ether’s price will go moving forward.
Related:Bitcoin gains $1.2K in 1 hour as BTC price rebounds on Ether ETF launchSpot ETH ETFs see $360 million in trading volume in the first 90 minutes of trading
Spot Ether ETFs have accumulated $361 million in combined trading volume one and a half hours into trading, according to data compiled by Bloomberg senior ETF analyst Eric Balchunas.Source:Eric Balchunas
In an earlier post, Balchunas provided insight into the volumes by comparing them to when spot Bitcoin ETFs began trading in the United States on Jan. 11.“Here’s volume after the first 15 minutes of trading. Total of $112m traded for the group (which is A TON vs a normal ETF launch but only about half of what Bitcoin ETFs’ volume pace was on DAY ONE, altho 50% would exceed expectations IMO).”
US-based spot Bitcoin ETFs have been heralded by market participants as the most successful ETF launch ever. The funds have seen $300 billion of cumulative trading volume in the first six months, bringing the total assets under management to $62.12 billion as of July 22.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Cryptocurrencies# Altcoin# Ethereum# Markets# Cryptocurrency Exchange# Ether Price# Ethereum Price# Ethereum ETF# Bitcoin ETF# ETFAdd reaction