Valentin Fournier noted that derivatives market participants expect increased volatility in Ethereum this week in connection with the start of trading of the ETH-ETF.
“The Ether price could drop to $3,100 immediately after trading begins and face significant selling pressure over the next few days,” Fournier said.
The analyst noted that ether options volatility has increased from 56% to 70% over the past week, with traders expecting an immediate decline in the asset’s value. In the long term, Fournier expects ether to rise back to $4,000 due to the gradual effect of growing demand for new exchange-traded products.
Recall that the US Securities and Exchange Commission (SEC) has approved the launch of ETH-ETF trading. In turn, the NYSE has approved the listing of ETH-ETF from Bitwise and Grayscale, as has the Chicago Board Options Exchange (CBOE).
Earlier, Into The Cryptoverse founder Benjamin Cowen said that the value of Ether could fall within six months after ETH-ETFs lose their novelty in the crypto market.
Source: Bits
I am an experienced journalist, writer, and editor with a passion for finance and business news. I have been working in the journalism field for over 6 years, covering a variety of topics from finance to technology. As an author at World Stock Market, I specialize in finance business-related topics.
