Analysts Commented on Ethereum: Attention to Sales, There Are Opportunities and Threats!

Analysts commented on the decline in price following the launch of the spot Ethereum ETF.

Spot Ethereum ETFs were launched on July 23. Shortly after the launch, the Ethereum price dropped to the $ 3,100 range, followed by a significant recovery.

Analysts who made a statement on the subject noted that spot Ethereum ETFs show serious similarities with spot Bitcoin ETFs.

“This situation is very similar to the spot Bitcoin ETF product launched at the beginning of the year,” CoinShares analysts wrote in an emailed note. statements were included.

Ethereum looks stronger than Bitcoin

Taking the ETF comparison one step further, crypto analyst Mads Eberhardt from Steno Research stated that the negative situation in the spot Ethereum ETF was triggered by Grayscale's sales, just like in Bitcoin.

However, he emphasized that the decline in prices creates a great buying opportunity:

If this trend continues, the outflow from the Grayscale Ethereum ETF could end much faster than it did for Bitcoin in January, perhaps by the middle of next week. Going forward, we anticipate that we will see strong net inflows due to inflows into other ETFs as observed over the last few days.

There are those who think otherwise: sales could shake things up

Rachel Lin, CEO and co-founder of SynFutures, disagreed, saying she expected short-term troubles for Ethereum investors.

Lin said that Grayscale currently owns over $8 billion worth of Ethereum and that rapid sales could cause problems for Ethereum:

As we've seen with Bitcoin, Grayscale's ETH ETF fund is becoming a net seller in the market, with outflows of over $810 million since the ETF launch.