With ETFs for it set to hit the market soon, Ethereum could have a Bitcoin-like rally in the coming months, and even touch its previous all-time high of $ 4,867.60, which it reached in November 2021, experts suggest.
Market players are hedging their bets on the past performance of Bitcoin, which shot up to its all-time high in March this year after the Bitcoin Exchange Traded Funds hit the market.
A similar happening may give a fillip this time to the coin, which is second only to Bitcoin.
As per global bank Standard Chartered estimation, ether could hit $8,000 by the end of the year and VanEck is set to raise price target for ether to $22,030 by 2030.
However, it’s not always wise to stick one's neck out with a bold wager in the unpredictable crypto world, an example of which was seen last week when a decision by the defunct Japanese exchange Mt Gox to return bitcoins to creditors sent the market nosediving.
"Market participants should watch for a comeback in volatility in traditional markets and crypto alike. Regulatory developments and macroeconomic policies will play a crucial role in shaping market dynamics," Jag Kooner, head of derivatives at crypto exchange Bitfinex, told Reuters.
In March, Bitcoin rose to $73,803.25, and two months after the first spot bitcoin ETFs started trading from $49,947. While Ether traded at $4,093.7.
According to MorningStar Direct, the new ether ETFs won't be able to attract same number of investors, as bitcoin ETFs have drawn nearly $38 billion in assets.
"The reason bitcoin ETFs impacted price is because there was more demand for these ETFs than there was new supply of bitcoin,” said Matt Hougan of chief investment officer at Bitwise.
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