Ethereum ETFs: $5B Net Inflows Expected in First 6 Months

Joshua Ramos
Source: Watcher.Guru

The recently approved Spot Ethereum ETFs are expecting to see $5 billion in net inflows over its first 6 months, according to cryptocurrency exchange Gemini. The firm published a research report discussing the investment product.

Gemini notes that ETH is still undervalued in comparison to Bitcoin. Moreover, it noted that a reversal was possible if the ETFs receive strong inflow figures after it officially goes live. Despite the success that Bitcoin’s ETF saw, Ethereum predictions have been rather mixed. That will be all the more interesting as its launch date should be nearing.

Also Read: Cryptocurrency: 3 ETH Coins To Stash Before Ethereum ETF Boom

Gemini Predicts $5B in ETH ETF Inflows

With the investment product rumored to launch this week, Gemini has predicted that Spot Ethereum ETFs could get $5 billion worth inflows in its first 6 months. The figures would showcase a clear success for the second crypto-based ETF approval in the United States in 2024.

When combined with the Grayscale Ethereum Trust, the prediction would give ETH ETFs $13 billion in assets under management in the first half of the product’s first year. Additionally, the report notes that it could be massively important to Ether’s standing.

“Given the AUM comparable in international ETF markets, robust on-chain dynamics, and differentiating factors such as a thriving stablecoin environment, there is favorable risk-reward of ETH catch-up in the months to come,” the firm said.

Ethereum Whales Selling Like There is No Tomorrow: Report
Source: Bitcoinist

Also Read: Spot Ethereum ETFs Could Receive SEC Approval as Early as July 4

In the first six months of Bitcoin ETF, it saw $15 billion worth of inflows. Subsequently, the report noted that ETH getting a third of that would be a positive sign. Conversley, anything near $7.5 billion would be a “surprise,” the report said.

Now, all eyes are on a launch date. Bloomberg’s Erich Balchunas revealed a notable delay early this week. Specifically, the SEC has requested S-1 form resubmissions by July 8th. The product is now facing a speculated release date of middle to the end of July.