Ether is "probably the only other digital asset likely to get a spot ETF approval by the SEC," the report said.
Bernstein says there is about a 50% chance of ether spot ETF approval by May and near-certain probability of approval in the next 12 months.
A number of traditional finance firms are vying for an ether ETF in the U.S., which is boosting the token's medium-term outlook. Franklin Templeton, Blackrock (BRK) and Fidelity, all of which had bitcoin ETFs approved by the Securities and Exchange Commission, are among firms that have submitted applications for an ether ETF.
"Ethereum with its staking yield dynamics, environmentally friendly design, and institutional utility to build new financial markets, is well positioned for mainstream institutional adoption," analysts Gautam Chhugani and Mahika Sapra wrote.
