š Ethereum ETF launch: price plummets 26%, supply surges 60,500 ETH
š® The launch of Ethereum ETF was originally seen as a shot in the arm for the market, but the reality is different. Since the launch of Ethereum ETF, the price of Ethereum has fallen by 26%, and the worst drop has reached 40%. At the same time, the supply of Ethereum has increased by 60,500 in the past month, which has caused concerns among some investors about the dilution of ETH assets.
š° Fund flows show that Ethereum has experienced an outflow of up to $420 million since the launch of the ETF, which is a considerable number. Despite the increase in supply, from the perspective of annual circulation, the newly added 60,500 Ethereum actually only accounts for 0.613% of the annual circulation, which is even lower than the new increase in Bitcoin.
š However, there is a view that the market's reaction to this change may be exaggerated. In fact, Ethereum's annual inflation rate is only 0.613%, which is almost negligible compared to the annual market inflow of other altcoins, such as Solana.
š Meanwhile, analysts are optimistic about Ethereum's prospects and say that Ethereum usually shows strong momentum at the beginning of each year. Based on this historical performance, they believe that Ethereum's real big outbreak may come in late 2024 to early 2025. By then, Ethereum is expected to officially enter a stage of rapid growth and usher in a wave of significant price increases.
š° According to analysts' predictions, Ethereum may usher in an important growth period in the next few months. Therefore, the market may have provided a relatively low entry point in recent weeks or months, giving you the opportunity to hoard more Ethereum before the price rises further.
š¬ Do you think the launch of the Ethereum ETF and the market's sluggish reaction will affect your investment decisions? Leave your insights in the comments section!
