Standard Chartered expects the U.S. Securities and Exchange Commission to approve the Ether ETF this week.
The first spot Ether ETF deadlines are fast approaching: May 23rd for VanEck and May 24th for Ark Invest/21Shares.
In an interview with The Block, Standard Chartered Bank Head of FX Research and Digital Asset Research Geoff Kendrick said he was “80% to 90%” confident that the Ether ETF would be approved this week.
“We estimate that, upon approval, the spot ETF will bring inflows of between 2.39 and 9.15 million ETH in the first 12 months following approval. In U.S. dollar terms, this equates to approximately $15 to $45 billion,” Kendrick added.
“As a percentage of market cap, it is similar to our estimates of Bitcoin ETF inflows, which have proven to be accurate,” Kendrick said.
The year-end target price for ether is $8,000.
Kendrick wrote in an analysis note to The Block on Tuesday that if a spot Ether ETF receives approval this week, Ethereum could keep pace with Bitcoin, adding that its current 5.4% price ratio could be maintained for the remainder of 2024. .
“Considering that Bitcoin is currently expected to reach $150,000 by the end of 2024, this means that Ethereum will be at $8,000,” Kendrick said.
The analyst added that given Standard Chartered’s projected Bitcoin price level of $200,000 by the end of 2025, this also means that the Ethereum price will be $14,000 by the end of 2025. This reiterates the price target the bank laid out for Ethereum in March. .
SEC Requests Amended Filings
On Monday, the SEC requested an update on the 19b-4 filing for a spot ether ETF ahead of this week’s deadline, indicating potential progress toward approval. However, approval is not guaranteed.
In response to the SEC’s request, Bloomberg ETF analysts James Seyffart and Eric Balchunas said: opportunity The percentage of SECs approving such products increased from 25% to 75%.
According to The Block’s pricing page, the price of Ether is up more than 19% in the last 24 hours, trading at $3,719 at 6:49 a.m. ET.
The GM 30 Index, which represents the top 30 cryptocurrencies, rose 9.25% to 148.75 during the same period.
Ether prices rose more than 19% on Tuesday after the SEC asked exchanges to update their 19b-4 filings. Image: Block.
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