Anticipated Approval of Ethereum ETFs Could Propel ETH Price to $4000 and Beyond
The upcoming approval of Ethereum exchange-traded funds (ETFs) in July has sparked discussions among experts about the potential price of ETH in 2024. Many experts believe that the introduction of ETFs will bring significant gains to the entire Ethereum ecosystem, particularly benefiting speedy layer 2 platform Arbitrum (ARB). Additionally, a new ERC-20 project in presale will enable ordinary traders to invest in various financial products, including ETFs.
All eyes are currently on ETH as the Spot Ethereum ETFs await approval on July 4th. Similar to the Bitcoin ETF, initial selling pressure may be experienced from non-Spot Ethereum ETFs like Grayscale. Grayscale has already filed for an Ethereum Spot ETF, but it will take some time for the outflows from the Grayscale Ethereum Trust to catch up with the inflows from the Ethereum ETFs. Once this balance is achieved, the price of ETH is expected to rise significantly, potentially surpassing the $4000 mark. Coin Bureau predicts a short-term target price of $4100.
Rachel Lin, CEO of SynFutures, has an even more bullish outlook, projecting that the price of ETH could reach $15,000-$22,000 in this cycle.
The narrative surrounding Bitcoin Spot ETFs attracted substantial investment by positioning it as “Digital Gold.” Similarly, asset managers like Larry Fink are advocating for Ethereum as the official platform for Real World Assets (RWAs). The recent introduction of the ERC-3643 token, a modification of the ERC-20 standard focused on tokenizing RWAs, is expected to have a significant impact on the ETH price once institutional investors can participate through the Ethereum ETFs.
The success of Ethereum and RWA investments will also benefit Arbitrum (ARB), a Layer 2 solution built on Ethereum. An expert from Coninglass predicts that the approval of Ethereum ETFs will have a bullish effect on Layer 2 platforms like Arbitrum. Anshuman Roy, an Arbitrum expert from Coinchapter, suggests that the increase in Ethereum ETF usage will lead to higher chain congestion and gas fees, making the faster and more affordable Arbitrum platform attractive to users.
The Arbitrum DAO foundation is actively investing in RWAs, with a recent announcement revealing a $29 million investment in Arbitrum. Additionally, they plan to allocate 1% of the Arbitrum treasury annually to RWAs. The interconnectedness between Ethereum and Arbitrum is evident in the price movement of Arbitrum, which has remained stable over the past 24 hours.
Furthermore, ordinary investors can benefit from the bullish trend surrounding RWAs through a decentralized trading platform called DTX Exchange. Currently in presale, DTX Exchange offers a hybrid model trading platform with over 120,000 financial instruments, including tokenized RWAs such as gold. Being built on Ethereum, the platform is fully decentralized, eliminating the need for Know Your Customer (KYC) procedures and providing the transparency associated with web3 projects and the immutability of the blockchain. In contrast, centralized exchanges like Binance, Coinbase, and FTX have been associated with questionable business practices due to their centralized nature.
DTX Exchange is currently in presale and is expected to see a 200% increase in price before its official launch. Given the bullish nature of the project, its low market cap, and the timing of the presale, DTX is likely to experience substantial growth moving forward.
To participate in the DTX Exchange presale, please visit their website.
