- Compared to bitcoin, options traders are less confident in ether’s short-term price performance, according to analysts at QCP Capital.
- Analysts, however, continue to see ether favorably in the medium to long run.
It appears that short-term market sentiment may be shifting in favor of bitcoin over ether, as options traders are currently expecting bigger price moves for the former than the latter.
Tuesday marked the start of trading Ethereum spot exchange-traded funds (ETFs), but the much-anticipated market boom did not occur.
Ethereum ETFs perform worse than Bitcoin ETFs on their first day of trading.
When compared to the $655 million in net inflows that occurred on the first day of trading for spot bitcoin exchange-traded funds (ETFs), this was a notable underperformance. The $484 million withdrawal from Grayscale’s converted Grayscale Ethereum Trust (ETHE) on the first day of trade was one of the factors contributing to the decreased capital flows into Ethereum ETFs.
Nonetheless, QCP Capital analysts continue to have a favorable medium- to long-term prognosis for ether. Two months after the launch of the ETF, Bitcoin reached an all-time high, setting a strong precedent. According to experts at QCP Capital, Ethereum’s price trend may eventually converge with its prior all-time high if they anticipate continued institutional interest.
Inflows into Ethereum ETFs will progressively rise
Additionally, BRN analyst Valentin Fournier proposed that long-term growth in Ethereum ETF activity might offset the post-launch sell-off and raise prices.
According to Fournier, if the favorable spot Ethereum ETF activity continues in the next days, Ethereum may make up for the sell-off that occurred after the launch and continue to rise.
But because of the increased activity in the cryptocurrency space and the diminished effect of the Ethereum ETF launch sell-off on bitcoin, he believes that bitcoin will beat ether in the near future.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
