The price of Ethereum at $2,400 after the launch of spot ETFs

The anticipated launch of spot Ethereum ETFs has sparked speculation about the price of ETH. According to Andrew Kang, founder of Mechanism Capital, the price could potentially drop to $2,400 after the ETFs are introduced. Kang points out that Ethereum does not seem to attract institutional investors in the same way Bitcoin does, and there is limited motivation to convert Ether spot into ETF form. He suggests that the expectations within the crypto community for an Ethereum ETF may be inflated compared to the preferences of traditional investors. As of now, ETH is valued at $3,377, so a drop to $2,400 would represent a significant decrease of around -30%. Kang believes that spot Ethereum ETFs may attract about 15% of the flows seen by spot Bitcoin ETFs. Additionally, there is speculation about the ETH/BTC price ratio potentially dropping from 0.054 to 0.035 over the next year. However, Kang also suggests that a rally in Bitcoin’s price to $100,000 could push Ethereum towards a new all-time high. On another note, the ProShares request to list and trade shares of an Ethereum ETF has been added to the existing list of approved ETFs, with final approval expected between the end of June and the beginning of July. The crypto industry and institutional investors are eagerly awaiting the SEC’s decision on the 9 Ethereum spot ETFs, with hopes of approval on the horizon.