Ethereum Hits $3K Amid Rising ETH ETF Odds

Ether (ETH), Ethereum’s native cryptocurrency, crossed the $3,000 mark for the first time since April 2022 on Tuesday, amid a broader cryptocurrency market upswing and speculation about the potential approval of Ethereum-based exchange-traded funds (ETFs) in the United States.

Over the past 24 hours, ETH’s value increased by approximately 1.6%, with a notable 12% gain over the previous week, outstripping the performance of other digital currencies, as reported by CoinGecko. Bitcoin (BTC) also saw a positive movement, climbing over 2% in the same period and approaching the $53,000 threshold.

The year 2024 has been bullish for major cryptocurrencies, with ETH showing a remarkable nearly 30% rise since the year’s start, surpassing BTC’s 22% increase. The momentum behind ETH’s rally appears to be growing, with market analysts predicting a possible move towards the $3,500 resistance level. This comes as the crypto community grows increasingly optimistic about the likelihood of the U.S. Securities and Exchange Commission (SEC) granting approval for spot-based ETH ETFs.

Kenny Hearn, Chief Investment Officer at SwissOne Capital, suggested in a recent interview that ETH could reach levels between $3,150 and $3,300 in the near term. “The next level after that would be $3,600, and we believe this is quite easily attainable in the next month or so as altcoins continue to gain momentum,” he added.

The anticipation of spot ETH ETFs, similar to the recently launched Bitcoin ETFs, is expected to enhance Ethereum’s attractiveness to more risk-averse and institutional investors. Brokerage firm Bernstein recently estimated a 50% chance of an ETH ETF receiving regulatory approval by May, with the likelihood nearing certainty within the next 12 months.