JPMorgan Sees Lower Demand for ETH ETFs Compared to BTC

As a seasoned researcher with extensive experience in the cryptocurrency market, I’ve closely followed the developments surrounding the potential launch of spot Ethereum exchange-traded funds (ETFs). The recent prediction by JPMorgan analysts that demand for Ether ETFs will be significantly lower than that of Bitcoin ETFs aligns with my own analysis.


As an analyst at JPMorgan, I would assert that the anticipated demand for spot Ether exchange-traded funds (ETFs) is projected to be lower than that of Bitcoin ETFs based on our research. Our forecast suggests potential net inflows ranging from $3 billion to $6 billion for Ether ETFs in the year 2024, depending on whether staking will be permitted.

JPMorgan Experts Forecast Muted Demand for Ethereum Spot ETFs: The anticipated enthusiasm for Ethereum Spot Exchange-Traded Funds (ETFs) may be overestimated. Bitcoin’s early dominance in the crypto market influences Ethereum ETF popularity. Read more on our blog: JPMorgan Analysis. Follow us @ [your handle] for updates.

— InnovatekMobile (@Neome_com) May 30, 2024

As an analyst, I’ve observed that the advantage of Bitcoin in the crypto market has saturated the overall demand for crypto asset exchange-traded funds (ETFs). The launch of Bitcoin spot ETFs in January resulted in significant inflows, a trend that might not be repeated for Ether ETFs. Additionally, Bitcoin’s recent halving event has boosted its demand, which is not presently a factor for Ether.

Institutional investors may find Ether exchange-traded funds (ETFs) less alluring than those based on Bitcoin due to Ether’s reduced liquidity and smaller market capitalization. Furthermore, the lack of staking capabilities in Ether ETFs diminishes their appeal for investment platforms that offer attractive staking returns.

Ether exchange-traded funds (ETFs) are on the verge of being authorized in the United States, but their launch hinges on the Securities and Exchange Commission (SEC) giving its approval to their registration statements (S-1 filings).

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2024-05-31 01:40