As the Ethereum price has passed $3,300, the positive sentiment in the markets is largely based on expectations brought about by Donald Trump’s election as president. Trump had promised during his election campaign to fire SEC Chairman Gary Gensler and appoint a crypto-friendly leader. Although Gensler’s term is set to end in 2026, it was announced that he will resign in January 2025. This development has fueled expectations for a more favorable regulatory environment in crypto markets.
Trump also stated that he plans to create a “Bitcoin and Crypto Presidential Advisory Board” and end the SEC’s crackdown on the crypto industry. These statements have created strong expectations in the markets that Ethereum Spot ETFs will be successful. Analysts predict that this change will attract more institutional investors to the crypto industry.
Ethereum spot ETFs could facilitate the entry of institutional investors into the market, triggering billions of dollars in inflows. According to analysts, these new investment vehicles make Ethereum more attractive, especially to Wall Street financial advisors and institutional portfolio managers. In addition, this development increases Ethereum’s liquidity and accelerates the institutionalization of its market infrastructure.
The Ethereum price rally and positive market sentiment are being fueled by growing expectations that regulation will become more lenient, marking a critical turning point for the wider acceptance of the crypto ecosystem.