Originally published on: November 28, 2024
The demand for leveraged Ether-based trading products has spiked by a whopping 160% since Donald Trump’s victory, indicating a growing interest in the world’s second-largest cryptocurrency surpassing the $4,000 mark.
With investors eager to capitalize on leveraged Ether positions, allowing them to amplify their trades by borrowing funds temporarily, the market is abuzz with excitement.
According to Vetle Lunde, head of research at K33 Research, the VolatilityShares 2x Leveraged Long ETH ETF has witnessed a significant surge in demand in the three weeks following Trump’s win on November 5th. This surge in demand reflects a renewed interest in risk assets like cryptocurrencies.
Despite Ether trailing behind Bitcoin in terms of price, analysts predict a shift in this trend following a recent price dip. Technical chart patterns suggest that Ether could potentially reach $20,000 during the next bull cycle in 2025.
Ryan Lee, chief analyst at Bitget Research, anticipates further upside momentum for Ether in the coming weeks. This rally could potentially propel Ether past the psychological barrier of $4,000, based on technical analysis shared by trader Wolf.
In addition to positive ETF flows, the influx of stablecoins into exchanges in November is expected to contribute to Ether’s price rally. This positive sentiment towards Ether is further validated by the consistent net positive inflow of over $90 million into Ether ETFs for four consecutive days, as reported by Farside Investors data.
As Bitcoin remains rangebound below $100,000, analysts believe this could be a potential catalyst for Ether’s price surge. Despite a brief correction from its all-time high of $99,800 to around $91,000, Bitcoin’s stability could benefit Ether’s upward trajectory.
With Ether ETF inflows on the rise and a favorable market sentiment, investors are optimistic about the future price prospects of Ether. Stay tuned for more updates on the evolving cryptocurrency landscape.
