Ethereum at $5,000? ETH Open Interest Rising on CME Before Spot ETFs Trading

At writing, Ethereum is down 18% from March 2024 highs. Analysts are optimistic despite bears maintaining the second most valued currency below $3,700 at market pricing.

ETH Futures Open Interest Increases on CME According to X, institutions are preparing to drive prices higher. According to increased open interest in Ethereum Futures at CME, a market, the expert believes the “big money” is buying ETH after the recent downturn.

To support this view, the analyst claimed the Ethereum CME futures contracts' open interest pattern is solid.

This behavior resembles Bitcoin futures before spot Bitcoin ETFs. For this reason, the analyst believes Ethereum is printing a similar pattern.

Ethereum is recording depressing lows. Sellers have held back momentum and capped bulls.

It seems that traders will watch $3,700 as a resistance level. After the June 7 break, bulls did not reply, and the bear breakout was confirmed on June 11.

The debut of Ethereum spot ETFs might boost prices despite market circumstances. The expert expects a $5,000 growth, confirming the Q1 2024 trend and breakthrough over the flag.

How price action plays out will determine bull control. Open interest is technically the total of open and long-leveraged holdings. If buyers drive prices up, ETH might break $3,700 this week.

Ethereum ETF Expectations: Will They Succeed?
Additionally, the recent surge in spot Ethereum ETF applications boosts confidence. Seven applicants with recently authorized 19b-4 forms filed updated S-1 registration statements to the SEC on June 21. According to analysts, the FDA may allow these products to trade by early July 2024.


While positive for Ethereum, several experts doubt they will succeed as spot Bitcoin ETFs did. Senior ETF analyst Eric Balchunas of Bloomberg said that the Ethereum ETF would succeed if it captured 20% of Bitcoin's capital inflow.

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