Bitwise CIO Matt Hougan has hinted at an optimistic outlook for the market fueled by the launch of Ethereum ETF products. This has raised speculation about the possibility of other crypto ETF products following suit.
Could Solana and XRP ETF Be Next After Ethereum?
On July 23, the long awaited Ethereum ETF finally hit the market for trading. Upon its debut, it made a big impact right from the start, generating significant numbers even within a half day.
This positive reception has sparked Bitwise CIO, Matt Hougan’s optimism about potential future crypto ETFs. In an interview with Bloomberg, he shared that the Ethereum ETF performance surpassed his expectations. The Bitwise Ethereum ETF (ETHW) attracted over $200 million inflows in one day comes off as even more surprising, he added.
Hougan said the funds’ massive trading volume are significantly higher than any average ETF launch of about a billion dollars. However, it is only the second best this year when compared Bitcoin ETFs, he noted.Â
Furthermore, he mentioned that the approval of Ethereum ETFs signifies a new era for other crypto assets. It will usher in more approvals for various crypto assets and index-based ETFs by 2025, he predicted. He noted that the VanEck and 21Shares filing for Solana ETFs in June could open the door for other altcoins to join the market.
Also, Ripple’s CEO, Brad Garlinghouse hinted last month that XRP ETF launch in 2025 is inevitable.Â
Institutional Investors Set to Boost the ETFs Market
Notably, market analyst Geoffrey Kendrick shared Hougan’s sentiments about the possible launch of other altcoins in 2025. Kendrick hinted Ethereum not classified as a security could affect other digital assets with similar tech.
It is likely they also avoid security labels and allow their ETF launches. Hougan further added that institutional investors would have a bigger impact on the inflows of Bitcoin and Ethereum ETFs.
Analysts speculate that this prediction could stem from the recent surge in global crypto investments leading to a significant influx. At present, institutional investors make up 5-6% of Bitcoin ETF inflows based on recent 13F filings. He anticipates this percentage to increase significantly to 50%. Above all, market experts have predicted a bullish trajectory for Ethereum ETF. It is expected to reach over $10 billion inflows in the first year. Another forecast that Ethereum price will hit $6,500 to $7,500, setting a new All-Time High (AH) record.
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