All indicators are green for the second largest cryptocurrency on the market, which exceeded a highly symbolic threshold this Wednesday, February 21.

Those who support the Ethereum blockchain and its native cryptocurrency have been eagerly awaiting this moment. For the first time since April 2022, ether exceeded the symbolic threshold of $3,000 this Wednesday, February 21. The second cryptocurrency in terms of capitalization, with more than 353 billion dollars on the counter, has made a spectacular rise for several days: +10% over a week, plus 20% over a month. At 9:30 a.m. this Wednesday morning, ether is trading just below this threshold, around $2,950.

Cryptocurrency benefits from a favorable context on the cryptocurrency market, boosted by the arrival of spot bitcoin ETFs in mid-January, these financial products which democratize the purchase of bitcoins. While the American stock market watchdog, the SEC, validated 11 spot bitcoin ETFs, several analysts believe that the authority will also validate spot ether ETFs during the year.

Year 2024, year of ether?

Eight files were sent to the American authority in this regard, in particular from Fidelity, Blackrock and more recently Franklin Templeton. The SEC must rule on May 23 at the earliest, for the VanEck company ETF. Bloomberg analyst Eric Balchunas estimates that there is a 70% chance that the SEC will accept spot ether ETFs by May 23. If the American authority were to validate this first ETF, there is a good chance that other files will be validated at the same time. For its part, the Standard Chartered bank expects an ether above 4000 dollars in the event of validation by the SEC.

As a reminder, an ETF (or Exchange Traded Funds) is an index fund trading on a stock exchange which follows the evolution of a stock index (or one or more financial or physical assets, such as gold ) by replicating the rise or fall in the price of this index (or these assets).

Will 2024 be the year of ether? For some analysts, ether could outperform bitcoin, the cryptocurrency of Ethereum, being in the process of becoming the new darling or “darling” of institutional management according to the American broker Bernstein. In fact, ether has several advantages: moderate transaction fees on spot prices, which will fall further as well as a new update called Dencun planned for March, before the halving of bitcoin , scheduled for April 19.


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