Ethereum's price could skyrocket with the upcoming launch of US-based spot Ether ETFs, helping it outperform Bitcoin. Here's why this could be a game-changer for ETH:

1️⃣ Launching ETF: “Golden Egg” for Ethereum 🥚

🌟 K33 Research analysts Vetle Lunde and David Zimmerman highlight that the upcoming launch of the ETH spot ETF, expected as soon as July 8, could significantly increase the price of ETH. by attracting significant capital inflows.

2️⃣ Bitcoin Hurdles: Mt. Gox ⛔

💸 Bitcoin, on the other hand, faces potential selling pressure with $8.5 billion worth of BTC set to be returned to creditors of the Mt. Gox no longer exists. This looming allocation could dampen Bitcoin's price performance in the near term.

3️⃣ Current ETH/BTC valuation: A bargain? 🤑

🔍 Ethereum has been underperforming Bitcoin for over a year. BTC's market-leading gains in 2024 are driven by more than $14 billion flowing into Bitcoin spot ETFs. However, the relative value of ETH to BTC is considered a bargain by analysts, with ETH/BTC trading at a ratio of 1 ETH to 0.055 BTC.

4️⃣ Expected ETF inflows 📈

📊 Analysts predict that the spot ETH ETF could deliver net inflows equivalent to 0.75-1% of ETH's circulating supply within 5 months of launch. These inflows are expected to boost ETH prices, providing a strong catalyst for relative strength against Bitcoin as the summer progresses.

5️⃣ Market Psychology and Trader Positioning 🔄

📉 Despite the positive outlook, the market is still skeptical. Ether futures are trading at a relative discount to Bitcoin futures.
However, Lunde and Zimmerman point out that many traders are taking advantage of ETH, indicating high expectations for ETH's price action ahead of the ETF's launch. #Write&Earn