Ethereum is one of the top cryptocurrencies in the spotlight today. In the last 24 hours, Ethereum has gained by $5.84%. As of 10:38 GMT+3, Ethereum was trading at $2645, with a market capitalization of $317.88 billion. Volumes are also rising, up 166% to $18.76 billion.
Franklin Templeton Files For Ethereum ETF
The momentum around Ethereum comes as talk of Ethereum ETFs gains traction. Leading the way for Ethereum ETFs is Franklin Templeton, which has announced the filing for a spot Ethereum ETF. The filing for an Ethereum ETF by Franklin Templeton marks the 8th such ETF filed with the SEC.
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#ETF Expansion: #FranklinTempleton steps into the crypto space, applying for a Spot #Ethereum ETF, signaling growing institutional interest. 📈🏦 #EthereumETF #CryptoETFhttps://t.co/CJPadTxH02 pic.twitter.com/24iLMkmKP2
— TheCoinrise (@TheCoinriseCom) February 13, 2024
While the SEC has been slow in its approval of ETFs, history shows that, in the end, it approves them. A case in point was the Bitcoin ETFs that were delayed for a long time but were eventually approved, opening the way for institutional money to come into Bitcoin.
Ethereum ETFs are not likely to be any different, and analysts are already predicting that Ethereum ETFs will be a thing in the coming months. For instance, Standard Chartered estimates that the SEC could start approving Ethereum ETFs as early as May.
Crypto Exchanges Preparing For Ethereum ETFs
Already, cryptocurrency exchanges are taking steps to prepare for such an ETF. For instance, Kraken, one of the top cryptocurrency exchanges, has announced that it wants to enter the crypto ETF custody market ahead of a possible Ethereum ETF.
The custody market is currently dominated by Coinbase through its Coinbase Custody business unit. Coinbase is already anticipated to be the one to hold the ETF Ethereum once approved, a factor that is likely to drive up the demand for Ethereum.
The excitement around an Ethereum spot ETF has a lot to do with the impact it can have on the price due to an influx of institutional money. There is precedence to this with the Bitcoin ETF. Since the Bitcoin ETFs were approved, there has been a lot of activity around Bitcoin, and the price has gradually increased to its current price of $50k.
Analysts believe that if an Ethereum ETF is approved, then Ether could be on course to trade at new highs of even $10k or more. This explains the current excitement around Ethereum, with volumes surging relative to most top cryptocurrencies.
The news of an impending Ethereum ETF also comes when Ethereum ETFs are making a comeback. Testament to this is the sale of an EtherRock NFT for 279 Ethereum, an equivalent of $739,015.
The rising Ethereum price is due to an anticipated Ethereum ETF and the resurgence of Ethereum NFTs as cryptocurrencies turn bullish again.
Ethereum Price Breaks Key Resistance, A Major Bullish Signal
Ethereum’s price shows a break out from a one-month consolidation period, signaling rising bullish momentum.
Since January 10th, Ethereum has been trading between $2209 and $2624. In the last 24 hours, Ethereum has broken out of this range with high buying volumes. This indicates that demand is rising, and Ethereum could test $3000 pretty soon.
However, if volumes drop and Ethereum falls below $2624, two scenarios could play out. The first one is a possible continuation of the consolidation that started in January.
If bears take control and drive Ethereum through the $2209 support, then Ethereum could easily trade at prices below $2000 in the short term.
Ethereum Price Prediction: Why $10k Ethereum Is Within Reach
Ethereum has broken a key resistance at a time when the broader market is bullish. This means the odds of a correction back to $2200 are slim. Besides, the news of an Ethereum ETF will likely drive momentum around Ethereum going into the future.
Also, with the excitement around Ethereum projects, especially NFTs, returning to the market, there is a confluence of factors to keep pushing Ethereum higher. New Ethereum NFT standards, such as the ERC404, are already coming up, and the market is taking note of high-potential tokens like Pandora.
Overall, the ETF, Ethereum NFTs, and the Bitcoin halving driving whole market momentum could see Ethereum test $10k soon.
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