Crypto:
30601
Bitcoin:
$58.521
% 1.08
BTC Dominance:
%53.3
% 0.09
Market Cap:
$2.13 T
% 0.20
Fear & Greed:
25 / 100
Bitcoin:
$ 58.521
BTC Dominance:
% 53.3
Market Cap:
$2.13 T

Ethereum Bulls Reignited as US Investors Signal Bottom with Vanishing Discounts

Ethereum, Price Increase

Ethereum price is giving signs of recovery, surpassing $3,000 as seller exhaustion kicks in and anticipation for spot exchange-traded funds (ETFs) builds.

Ethereum bounced back above $3,000 after retracing from a harsh sell-off that dragged the price down to $2,800 three days ago. The reversal coincides with the easing of discounts on Grayscale Ethereum Trust and Coinbase Premium, which are seen as positive signals by bullish investors.

Spot Ethereum ETF Launch Anticipated

Experts believe this price rebound signals a potential bottom before the much-awaited spot Ethereum ETFs make their debut in the US market.

CryptoQuant’s Ether basis index, which measures the difference between the ETH/USD spot price on Coinbase used by US investors and the ETH/USDT spot price on Binance, has returned to neutral levels from a deep discount of -0.19 in late June. Notably, the disappearance of discounts in Grayscale Ethereum Trust’s net asset value (NAV) for the first time in two years indicates rising investor confidence and increasing demand for Ethereum-related investments.

The vanishing premiums (discounts) on Coinbase and Grayscale suggest seller exhaustion and a potential price bottom.

Ethereum ETF Primed for Massive Demand

On the other hand, expectations are high that the Ethereum ETF could see billions of dollars in demand and further boost interest in the Ethereum network.

Analysts at IntoTheBlock, in their weekly newsletter, said they estimate potential demand for the Ethereum ETF could result in inflows of around 30% of what was witnessed during the introduction of the Bitcoin ETF.

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